QE3+

Bernanke has launched a third round of Quantitative Easing and the continuation of Operation Twist. Interest rates remain unchanged. The reaction is a weaker currency and a rally of stocks. But what of the economy?

Unemployment is still high at over 8%, and there is a lack of demand. The average wage has decreased and consumers have to deal with the inflation caused by this inconvenient monetary policy. If you want to know something depressing, it will take me 20 weeks of working at BevMo to compare to what I have made in 1 week of trading.

Back to the issue though...

Will the Federal Open Market Committee run out of bullets?

This is what I saw: http://www.youtube.com/watch?v=X4nfZu8VqgQ

What is he shooting at? The U.S. Dollar. The Dollar Index lost 50 basis points following the announcement and press conference held by the FOMC.


The DOW looks scary for a trader because it is approaching the 2008 highs that was followed by a financial meltdown. The market is asking the investor to double down. I say do it!

S&P PE ratio is no where near 2008 or 2000 levels. Presidential elections will continue to force hands of both political parties to keep the market propped up. Most of the major caps will not report earnings until next month. Fiscal cliff? Another raised debt ceiling- nothing new. Europe? Let Germany handle that.

I'm done worrying. I'm going to watch me some football.