The Federal Reserve made news this past week in two separate events. The first came with the Fed's policy meeting on Wednesday, when the central bank gave no hint that it would taper or slow its QE bond purchases any time soon. Wall Street believes the Fed will taper in September. My thought is that tapering is likely to come in December, or perhaps not until the new year. (More on that logic in a moment.)
The other big Fed event occurred when President Obama gave a strong defense of his former top economic advisor, Larry Summers.
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