Money Morning’s Chief Investment Strategist went on record with his prediction months ago, stating that there’s not a central banker in the world who has the guts to step away from QE. Few – if any – investors agreed. But they didn’t lock in a 100% gain, either…
- Keith Fitz-Gerald Nails It on Today's FOMC Meeting
- BREAKING: Bernanke to Continue Controversial Bond Buying Program
- Brace Yourself: This Is What the Fed’s QE Has Done for Our Economy
- What You Need to Know About Silver Prices and the Fed QE Taper
Fed Chairman Ben Bernanke announced in a press conference this afternoon that the U.S. Federal Reserve will continue quantitative easing, the controversial bond buying program, for now. Chairman Bernanke expressed concern over rising borrowing costs and their effect on the economy, saying that the situation calls for continued quantitative easing.
Analysts on and off Wall Street were surprised, to put it mildly. Markets responded very well to news of continued easy-money policy. The mainstream consensus was that the Fed would begin to taper off its $85 billion monthly bond purchases by around $10 or $15 billion each month. Current pricing just didn't take continued bond buying into account, and the bullish reaction was immediate, intense, and widespread.
Along with the Fed's easy money policies came bright promises of an economic recovery. Glancing at some recent headlines, you might even think the Fed succeeded... but why not take a deeper look into the mainstream media numbers and decide for yourself?…
Silver prices have rebounded about 28% since the lows of late June, and are currently trading at around $23 an ounce.
This move was key for silver prices - it means the metal broke out above its 50-day moving average.
Barclays' technical analysts pointed out that last week was silver's best week since 2011, with a gain of 14.3%.