The beginning of the end of QE

Recent data indicates the Fed’s likely to start scaling back in September, and Wall Street isn’t happy. But the central bank is unlikely to go cold turkey.

The US stock market remains in a tizz over the prospect of the Federal Reserve scaling back its quantitative easing in the not too distant future. It is a perverse reaction given that the only condition on which the Fed has said QE will be scaled back is if and when the economy has improved and that that improvement is on a sustainable trend. 

US stocks fell 0.4 per cent overnight to register three straight falls that total 1.1 per cent. These are not large falls but rather reflect the fickle mood of the market.

{{content.question}}

{{ twilioFailed ? 'SMS Code Failed to Send…' : 'SMS Code Sent…' }}

Hi {{ user.FirstName }}

Looks like you've already taken a free trial

Please enter your payment details

We have sent you a code via SMS to {{user.DayPhone}}

please enter this code below to activate your membership

We cannot send you a code via SMS to {{user.DayPhone}}

If you didn't receive SMS code please

SMS code cannot be sent due to: {{ twilioStatus }}

Please select one of the options below:

Looks you are already a member. Please enter your password to proceed

Please untick this box when using a public or shared device


Verify your mobile number to unlock a FREE trial

Please sign up for full access

Updating information

Please wait ...

  • Mastercard
  • Visa
Mastercard

The email address you entered is registered with InvestSMART.

Please login or select "Don't know password"

Please untick this box when using a public or shared device


Register as a new member

(using a different email)

Related Articles