2 Responses

  1. Harold Sader
    Harold Sader August 20, 2013 at 4:38 pm | | Reply

    You may be correct, and probably are correct, that fear has had more to do with the low rates of our immediate past than did Fed policy and actions. However, the past is the past, and at most only prologue to the present and the future. In that regard, I believe that Fed actions may very well continue to influence rates and markets in the immediate future. It is critical that “tapering” be orderly and in response to quantifiable and apparent economic activity (unemployment, plant utilization, investment, consumer spending, etc.). If so it should be readily accepted, by the markets as a reflection of real economic progress. If erratic, however, the impact on market expectations would likely be negative and destructive to investment confidence. Fortunately, this has not been the path followed by Mr. Bernacke who, in my opinion, has done a terrific job as Fed Chairman.

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