QE: Prove It First

“Fed itself has admitted in the last couple days in speeches that they don’t know what they’re doing. They just hope what they’re doing works.” ~Kyle Bass of Hayman Capital 10/06/2010 via CNBC With talk of QE2 in full swing, I found yesterday’s comments from Goldman’s Jan Hatzius regarding NY Fed President William Dudley’s speech [...]

QE2 through the lens of QE1

A survey released yesterday on the subject of the markets’ expectation for the future size Federal Reserve balance sheet has me curious regarding what another round of quantitative easing (QE) would mean for the equity markets. 70% of survey respondents believe the Federal Reserve will resume QE with the average expected increase in balance sheet [...]