Here's The News On The QE2 Report That Everyone Is Going Nuts About This Morning
A hedge fund advisor is telling clients that the Fed is preparing new easing measure that it will announce in the first days of November because the central bankers have "run out of patience" with the US economy’s inability to create jobs, according to a report from Reuters.
"Fed leadership has all but run out of patience with economic data it believes is not propelling the U.S. recovery sufficiently to dent the unemployment rate. The FOMC will work through the next couple of weeks to prepare additional easing measures to announce at the end of its Nov. 2-3 meeting," a source reading directly from the Medley Global Advisors report, titled “Fed: Bait and Switch,” told Reuters.
How would a hedge fund advisor know what the Federal Open Market’s Committee is going to be doing over the next few weeks? It’s very possible that this is just a speculative conclusion based on a reading of the various players at the Fed. A sort of Kreminology of the Fed.
It seems unlikely that the Fed would leak information through a hedge fund advisory firm, rather than one of the traditional media conduits.
Nonetheless, this has excited some traders and the Reuters report is being passed around like an STD at Burning Man.