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QE3 "unofficially" begins Monday AM.

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roamer65 Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Aug-05-11 09:25 PM
Original message
QE3 "unofficially" begins Monday AM.
Edited on Fri Aug-05-11 09:27 PM by roamer65
Trust me, the Federal Reserve will be in the markets Monday morning buying bonds, maybe even stocks.

The Federal Reserve will also defend the value of money market funds, as they did in 2008.
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rdking647 Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Aug-05-11 09:27 PM
Response to Original message
1. i dont think they will have to
I honestly think this is a non event...

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roamer65 Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Aug-05-11 09:29 PM
Response to Reply #1
2. They are preparing for it just in case.
They have already released statements, which means they are prepared or are preparing.
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sad sally Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Aug-05-11 09:43 PM
Response to Original message
3. The gloomy global crises according to Marc Faber
A mooted third round of quantitative easing (QE3) in the U.S. and more money printing elsewhere is merely deferring a crisis that will be bigger and could end in war, Faber said.

Occasionally the computer will crash and you have to reboot it. That will happen to the global economy. Before this happens there will be much more money printing because basically the central banks are willing to do that," he said. "By printing money, problems are not solved, but they can be postponed, and they become larger. It's like the recession in 2001. Had there not been massive money printing, it would have been steeper than what we had, but equally, we would have avoided probably the financial crash in 2008."

The next crisis will be far bigger, according to Faber.

"The next time we have a global economic crisis, it will be much worse than 2008. Before this happens there will be money printing and there will be war. The whole system will collapse," he said. "That's why I'm advising people that they have to think it through. In a total collapse you don't want to own government bonds and cash."

http://www.cnbc.com/id/44031717?du
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roamer65 Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Aug-05-11 09:46 PM
Response to Reply #3
4. I have said the same thing as Faber.
Edited on Fri Aug-05-11 09:46 PM by roamer65
We should have allowed the economy to have a normal recession in 2001. It would have been similar to the 1990-1991 recession and we'd be out of it by now and probably be in better shape.

Easy Al Greenspan is at fault on that one.
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sad sally Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Aug-05-11 10:03 PM
Response to Reply #4
5. the coulda', shoulda', woulda', huh? I'm with you on Greenspan -
old age is catching up to him, as even he now laments, "In the business I was in, I was right 70% of the time, but I was wrong 30% of the time."

I'd flip those numbers, however; wrong 70% or more.
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