Quote:
Originally Posted by aka123
You realise that what ECB does now, is what FED has been doing for long time with much bigger quantities and is somewhat still doing?
|
Of course I do, but they completed the taper and are giving forward guidance about raising rates this year so that's tightening and in the face of loose monetary policy around the world, that's why the USD has strengthened so much in the last year and probably will continue.
However, as I said, the skeptics say that the FED will reverse trend (because they're now hinting about it) and hence we could possibly receive QE4 end of this or early next year.
The problem is that there weak inflation and the inflation target is 2%. Privately they could be seeking 3 - 4% inflation and QE will help them get there.