News
Market Watch | Fed to move forward with Basel III capital rules
The Federal Reserve on Tuesday was set to vote to approve a proposal to implement a global agreement on bank capital buffers known as Basel III, including a measure that would establish limits on a big bank's capital distributions and bonus payments if the institution doesn't have certain common equity buffers in place.
Bloomberg | How Fed’s 7% Jobless Avoids Deterring Bondholders Is Mystery
Unemployment will fall to about 7 percent in the fourth quarter, according to economists at five of the world’s largest banks, creating more confusion among investors about the Federal Reserve’s bond-buying plans.
Econ Comments & Analysis
WSJ | The Fed Should Start to 'Taper' Now
The Federal Reserve should begin now to end its program of long-term asset purchases. It should not wait for the improved labor market that it predicts will come later this year, an improvement that is unlikely to occur. Instead, the Fed should emphasize that the pace of quantitative easing must adjust to the likely effectiveness of the program itself, and to the costs and risks of continuing to buy large quantities of bonds.
AEI | QE undone
Quantitative easing can boost the stock market but not the real economy or even inflation.
