Bernanke is pumping up the stock market to help President Obama get reelected.
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It's incredibly hard to predict how these massive macro changes affect us on an individual or company level.
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It's incredibly hard to predict how these massive macro changes affect us on an individual or company level.
Not necessarily. If he'd done it in June/July, we could look at the results, which might not be good.
Doing it now, Obama can continue to argue "things are going to get better real soon now".
QE3 is pretty much already priced into the market.
However, the stock market won't help Obama. He needs employment.
The median income has gone down more during the "recovery" than it did during the recession. The only reason why unemployment is stable/creeping down is that folks are dropping out of the workforce; workforce participation is dropping.
Heck - compare the number of folks going on disability to the number finding work.