QE3 – Bernanke Wants to Print More Bucks – Another

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Ben Bernanke, the chairman of the Federal Reserve, gave an interview to 60 minutes and said that the central bank might be spending more than $600 billion on buying bonds, to stimulate the economy.

I guess that when the European Central Bank led by Jean-Claude Trichet joins the gang with some Euro printing, Bernanke feels more comfortable to talk about raising the sum in the US:

In Europe, this bond buying is sterilized and is essential to revive the Euro, which is in danger. In the US, this is pure dollar printing – devaluing the currency.

Here’s a quote from CNN:

“He explains why the Fed announced its intention to buy $600 billion in Treasury securities, defending against charges the move will lead to inflation and not ruling out the purchase of more,” CBS said Friday.

Is it QE2+, QE3 or “QE Forever”? Given the recent job report, more quantitative easing seems justified, although its efficiency is still doubted.

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About Author

Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned the significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.

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