Investors face risk when they move from cash to stocks after a market rally.
The party will come to an end as the Federal Reserve ends its bond buying program. The prices on many risky assets will fall, but that may not be a bad thing.
It may not be a “recovery summer” but the Federal Reserve’s Beige Book shows broad but measured growth across many industries and areas of the country.
The Federal Open Market Committee met on Jan. 29 and 30 and decided to continue purchasing $40 billion of agency mortgage-backed securities per month and $45 billion of longer-term Treasuries per month.
FOMC members are split on when to end quantitative easing, some favoring as early as the end of this year.
The Fed, faced with a laundry list of economic troubles and stubborn unemployment, decided to go all-in on job growth.
QE3 is bad news for CD investors in the short term, but if it works it could help CD rates recover over the long term.
The European central bank met this week and made no changes to policy, though they may take action in coming weeks.
Fed Chairman Ben Bernanke was on the hot seat today as senators grilled him on Libor, QE3 and the state of the economy.
The group responsible for monetary policy is divided on how to help the economy.