Dallas Fed Chief: Markets Hooked on 'Monetary Cocaine'

[Ross]

Dallas Fed Chief: Markets Hooked on 'Monetary Cocaine'
Wednesday, 05 Jun 2013 06:59 AM

(Excerpts from the article)

To counter the financial crisis, the Fed dropped short-term interest rates to near zero in late 2008 and has since bought more than $2.5 trillion in bonds to bolster what has been an anemic economic recovery.

Fisher is a longtime critic of the Fed's current bond-buying program, the Fed's third round of quantitative easing, known as QE3. He argues it has done little to help the economy and poses a risk of doing great harm.

Uncertainty over U.S. fiscal policy is keeping businesses from hiring, he added, negating the power of the Fed's super-easy policies.


Unemployment is expected to remain at 7.5 percent when the U.S. government releases its May jobs report this Friday.

Read the whole thing at:
http://www.moneynews.com/FinanceNews/federal-reserve-richard-fisher-bond-buying-rally/2013/06/05/id/508102?s=al&promo_code=13B96-1