Investors Await September 2012 FOMC Meeting and European Reactions To Draghi Bond-Buying Announcement: Investors are anxious to get news from the Fed Reserve Bank on whether they will move forward with another round of easing. After another lackluster month of employment in August 2012, the FOMC has enough ammunition to pull the trigger and…
Fed’s August 2012 Beige Book Say’s Unemployment “Holding Steady or Growing Only Slightly” – No Easing Is Bad Signaling: The Fed’s Beige Book for the month of August 2012 was unusually weak. Although some of the data showed strength compared to the prior Beige Book, most of the trends haven’t changed and the all-important jobs…
Market Looking Forward to Operation Twist But What About Europe? “Operation Twist” and/or additional easing could mitigate European contagion effects. The Federal Reserve will begin a special two day session this week with the intent of finding new ways to help the U.S. economy grow. The market is expecting some easing measures but not necessarily…
Jobless Claims Drop 12,000 to 409,000 As Fed Considers Proportional Interest Rates: The unemployment problem continues. The Labor Department said today initial jobless claims fell by 12,000 to 409,000 for the week ended August 27. The economy is still suffering from a high rate of unemployment and the jobs market is not expanding at a…
Fed Policy Statement Focuses On Economy, No Mention Of More Easing: Fed Reserve wants market focus elsewhere – adds certainty. The Federal Reserve met today and released a statement about their monetary policy initiatives. The Fed did admit that economic conditions had weakened but made it clearer that there would be no QE3. It was…
