Have the currency equity and bond markets have become mere adjuncts to Federal Reserve monetary policy? Chairman Bernanke mentions the possible end of quantitative easing and the equity and bond markets swoon and the dollar surges. He reverses course, promising accommodative monetary policy for the foreseeable future and the markets obediently reverse with him. What do the markets fear and how does the Fed control both short and long term interest rates? How will this extraordinary exercise in monetary policy end?
Chief Market Strategist Joseph Trevisani's webinar on the future of quantitative easing: