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IPFS News Link • Economy - Economics USA

The Washington Post Drops A Huge Hint About What QE4 Is Going To Look Like

• http://www.businessinsider.com, Joe Weisenthal
People are already talking about the Fed doing QE4, but there's a problem with that.
 
 QE3 is open ended, so how can we get a new round of asset purchases if the current round is never supposed to end?

Still there is one key way that the Fed can turbocharge the program.

Remember, this current round of QE is designed to keep going until the labor market improves and is robust.

But nobody really knows what that means and everyone is worried that the Fed will get fidgety and start tightening if inflation picks up before the jobs data is good.

So as we've written before, the Fed's next move is likely to be a clarification of what conditions would make the Fed feel that it no longer has to keep buying assets.
 
 
 

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