I agree with ETF1. I think the Fed will stop QE as planned.
I'm also certainly no expert on this or on anything at all... personally, I think the FED is a private gangster group designed only to bail out banks, it's not a public agency and it has absolutely no responsibility to account for anything it does... it was created in 1913 and designed ONLY to protect the banks and bail them out when in trouble... today, people are generally clueless about the FED and have the false impression that it's some sort of government group trying to help the economy... yes, by bailing out the banks, they do help the economy but only as a contiguous byproduct, the economy is not their interest... I don't think they are any more criminal than Congress or the President.... but both those branches of government have done things I think should land them in jail, such as selling tax exemptions for campaign contributions and jobs for past presidents, their families or their VPs in private industry that they didn't deserve or qualify for... obviously as payment for tax exemptions and/or favorable laws.
Today, they're in complete violation of their Charter and have morphed into some sort of private regulatory group, since their inception in 1913 the U,S, Dollar has lost 94% of its value... before their inception, the U.S. Dollar had no value loss, they're nothing more than legal counterfeiters... they should be disbanded and arrested and we should allow the economy to function without ANY agency or government intervention or meddling whatsoever.. I have a old Federal Reserve note (I believe in my safe deposit box now) that says I can bring it to a charter bank and exchange it for silver. That is pretty amazing when you think about it. With a finite supply of silver and gold (limited by how much you can spend to dig it up) my guess is population growth multiplied by the improvement in the quality of living since 1913 would have made silver and gold more valuable than inflation if we had stayed on the gold/silver standard since demand ($17T a year now just in the US) for GDP exchange plus value stored in vaults by all us savers would mean not enough to go around.
I look at having Federal Reserve Notes (dollars) as a store of value in lieu of physical gold and silver for us savers and we pay a price for this convenience of 1 to 3% a year from inflation less any interest we can earn lending them to banks to make safe loans. During good times, we actually make money on this transaction. I far prefer it to having to hire a security team to protect my very large pile of non stock market assets mostly in savings or inflation linked US Bonds.
At least that is how I understand how the Fed works....
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