tag:blogger.com,1999:blog-5524682876220396502.post2063752208434119067..comments2024-03-27T06:56:10.255+00:00Comments on Broad Oak Magazine: Is quantitative easing the cause of the rally?Unknownnoreply@blogger.comBlogger3125tag:blogger.com,1999:blog-5524682876220396502.post-12216760515411734442010-12-07T11:30:40.780+00:002010-12-07T11:30:40.780+00:00I'd be a little happier about this theory if t...<b>I'd be a little happier about this theory if the mechanism could be explained.</b><br><br>Your "indirect" effects would account for the market going up, but not for the correlation visible on the graph, I think.<br><br>Just intuitively... Printing money causes inflation. That QE money did not go to people struggling to pay their mortgages and their credit-card bills. It went to savers and investors, people who already owned the securities that the Fed was buying. So, that's the place where the "extra" money is, and it's leading to "asset price inflation" and stock price increases as in the graph you show.<br><br>If this analysis was correct, I wouldn't be the only one thinking it. So... what have I got wrong? I guess I'm not looking at "debt-fueled market speculation" ...The Arthurianhttp://www.blogger.com/profile/16501331051089400601noreply@blogger.comtag:blogger.com,1999:blog-5524682876220396502.post-47293590332834827572010-12-07T00:39:28.745+00:002010-12-07T00:39:28.745+00:00subsubAntiCitizenOnehttp://www.blogger.com/profile/00017073518049848696noreply@blogger.comtag:blogger.com,1999:blog-5524682876220396502.post-49933274432145124492010-12-07T00:39:21.611+00:002010-12-07T00:39:21.611+00:00The truth is...There is No market at the moment.It...The truth is...<br><br>There is No market at the moment.<br><br>It's totally rigged.<br><br>I don't try and invest at the moment, I just try and straddle and hope I can come out with some left.AntiCitizenOnehttp://www.blogger.com/profile/00017073518049848696noreply@blogger.com