October 30, 2010

QE2 Setting Sail or the Doomed Titanic?

Peter Schiff, Euro Pacific Capital

Send to a Friend

There has been so much discussion recently about "QE 2" that you would think the entire financial sector were about to embark on a transatlantic cruise. Unfortunately, they, and we, are not so lucky. In the year 2010, "QE 2" doesn’t refer to a sumptuous ocean liner, but a second, more extravagant round of "quantitative easing" – stimulus. In the past, this technique was simply called "printing money." As if the nation has not already suffered enough from the first round, Captain Ben Bernanke and the Fed are determined to compound the damage by hitting us with another monetary juggernaut. Their stated goal is to boost the economy and create jobs. However, since economic growth cannot be achieved by printing money, their QE 2 will...

Read Full Article ››

TAGGED: bonds, dollar, monetary policy, interest rates, Peter Schiff, Quantitative Easing

RECOMMENDED ARTICLES

May 11, 2012
The Delusions of Bond Market Investors
Mark Hulbert, MarketWatch
What will the 10-year Treasury be yielding a decade from now?   If you’re like virtually everyone else of whom I ask this question, you believe its yield will be higher then than its current 1.88% — and... more »
Progressives, led by Paul Krugman, believe that we can fix our economic woes with more consumer debt and higher inflation. The reality is that near zero interest rates encourage speculation, discourage savings, weaken pension... more »
May 17, 2012
Bonds May Not Warn when Debt Crisis Strikes
Caroline Baum, Bloomberg
One by one, European nations are letting their voices be heard, tossing out the party in power and voting in those who, in some cases, have a more radical agenda or, in others, are just willing to say “no” to the... more »
 (CBS/iStockphoto)(MoneyWatch) COMMENTARY For the past few years, we have persistently heard from the so-called experts that interest rates were sure to head much higher given the Federal Reserve's loose monetary policy. For... more »
May 17, 2012
What The Markets Say About Monetary Policy
Calafia Beach Pundit
Scott,Interesting charts. Knowing that you believe in trend reversion, does the spike in commodities mean that we will see a reversion to the long term trend line (lower commoditiy price) or do you see commodities @ a fuller... more »