Another Sorry Chapter in the Fed’s Sad Saga

by Source: The Fed is about to close a momentous chapter in monetary-policy history … The Federal Reserve is set to exit a historic monetary-policy era and enter a new one. On Wednesday, it will most likely raise its benchmark rate for the first time in nine years, ending the zero interest-rate regime that […]

Is the Fed Due for Downsizing?

by Source: Politico tells us that the “Fed pushes back as Congress eyes its billions” and that “Congress is aiming to take billions out of the Fed’s accounts to help pay for a new highway and transit bill.” Beyond explaining the intentions of Congress in this regard, the article speculates on why the Fed […]

Who Is Frustrated at the Fed?

by Source: A Republican Congressman wants to strip the Federal Reserve Bank of New York of one of its key powers, and it could have a big impact on when and how the Fed makes its next rate decision. Next Wednesday, in the House Financial Services Committee Monetary Policy and Trade Subcommittee hearing on […]

Federal Reserve Spies on France

by Source: Following last week’s eavesdropping reports, WikiLeaks shared new documents with Libération and Mediapart. This time, the new documents reveal that the NSA was spying on France’s best performing companies for economic intelligence purposes. In addition to eavesdropping French Economy Ministers François Baroin and Pierre Moscovici between 2004 and 2012, the NSA gathered […]

Autonomy Has Nothing to Do With It

by Source: Central Bank Autonomy Is Under Attack … Current events in Cyprus and Turkey hammer home a point that former Federal Reserve Chairman Alan Greenspan made in the memoirs he published in September 2007. Central bank independence, Greenspan said, is “not set in stone.” Left unsaid was the fact that it should be. […]

Post Election, The Fed's REAL Worry

by Source: Fed’s Fisher Tells Congress Don’t Mess With Central Bank … Senate Republicans should resist the temptation to erode Federal Reserve independence after victory in mid-term elections, Dallas Fed President Richard Fisher said. “Think about this: Here’s a Congress that can’t even get its own budget together. Do you want them running the […]

QE: The Fed Acts Decisively … Or Not

by Source: The Fed’s $4 Trillion Bet … The U.S. Federal Reserve announced … that it will halt the bond-buying program known as quantitative easing — one of the biggest experiments in economic policy ever attempted. The policy was a gamble, and it’s too soon to be sure of the results. Nonetheless, the Fed […]

Federal Reserve ends quantitative easing bond-buying program

by Source: The Federal Reserve has officially announced an end to its quantitative easing bond-buying program, but economists are split over whether the central bank’s decision will help or hinder post-recession recovery. As expected, the Fed said Wednesday afternoon that it’s third and most recent round of quantitative easing, QE3, would come to an […]