Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Mainstream Politics and Economics -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (49955)	8/1/2013 8:03:40 PM
From: Broken_Clock	Read Replies (1) \| Respond to of 85487

"not a way to make money for bankers." evidence say otherwise === Fed's latest QE 'boosting banking profits'2 October 2012 Banks in the US have experienced a surge in profits since the Federal Reserve (Fed) implemented its third round of quantitative easing (QE), new figures have shown. Last month (13 September), policymakers at the Fed decided to pump more monetary stimulus into the struggling American economy through the purchasing of additional agency mortgage-backed securities at a pace of $40 billion per month. And this move appears to have had a positive short-term impact on the home loan sector, as the average rate on a fixed 30-year home loan has hit a new record low of 3.4 per cent, the Financial Times reports. Steven Abrahams, mortgage strategist at Deutsche Bank, told the news source that the Fed's third round of QE was "some of the best news [banks] could possibly have heard", as the action has boosted activity in the home loan market. "They will continue originating loans and selling them into the market at a significant premium," he added.