How Does the Government Shutdown Impact QE?Submitted by Smaulgld.com on Wed, 10/02/2013 - 14:16
“It’s possible you could get some data that change the complexion of the outlook and could make the committee be comfortable with a small taper in October.” St. Louis Fed President James Bullard, one day after the Fed’s September meeting.
The Fed has been talking about tapering its $85 billion a month quantitative easing (QE) program since May. Since the Fed started talking tapering, we have been skeptical about their desire or ability to do so.
We believe the Fed will draw upon any excuse to continue QE. They may have just found their latest.