Page 42 - Tapering News Today

They talked about tapering and beginning to print less money, the market would react in panic. instead it soared. why? >> because theyve gone from shooting heroin up four times a day, printing money, thats the functional equivalent, given a fake high to the markets and to the economy, theyve gone from four times a day to like 3.99 times. this is barely a taper. remember, when you print money what, do you do? you buy bonds from the financial system, the government will buy those bonds, infuse the...

The dow rose more than 292 points. the s&p 500 rising by nearly 30. both closing at record highs. you can see the spike there at 2:00 p.m. eastern. thats when the federal reserve nounced it would start cutting the stimulus program. the process dubbed tapering. something investors have been waiting for. a big sign the fed thinks the economy is slowly but surely ill proving. ben bernanke said an improved outlook was one of the reasons the fed chose to start tapering. to our top story, a show of ...

>> the committee now anticipates it will likely be appropriate to maintain the current federal funds rate target well past the time that the unemployment rate declines to below 6.5%. especially if projected inflation continues to run below its 2% goal. >> that announcement sent stocks soaring with both the dow and cent 500 reaching all-time highs. here with what that means for you is zanny betows, from "the economist." good morning. >> good morning. >> the stock market is down, almost 300 points...

Are they, will they. instead, its now. and the second thing, of course, theyre doing it because the u.s. economy is looking much better. if you -- >> thats the next point, the next point, because they wouldnt be doing this if they werent feeling we were moving in a positive direction. thats a great thing, right? >> absolutely. if you look at the statement, some people read the statement in its original form, it says taking into account the external fiscal entrenchment, washington, and the commit...

This is a surprise for some folks that theres a little bit of tapering, but this is not huge tapering by any means, right? >> 93, and there never was going to be huge tapering. we always knew the first move was going to be symbolic. thats exactly whats happened today. the feds been buying $85 billion a month. a $trillion a year in terms of bonds. all they have done is very, very gradually ease their foot off the gas. theyre still pumping $75 billion a month into the u.s. economy. the only questi...

Spigots, you did see a correction in risky markets like emerging markets, in commodities and areas where investors tend to try and put money into risky assets in the hopes of getting a higher yield. "uss stocks, blue chip stocks actually did okay. so i think unless we see a very surprising announcement, were not going to see a major correction in the u.s. markets right now. what we do need to see once tapering begins is that recovery continuing because if corporate earnings dont stay high, thats...

More coverage of the national security agency recommendations for reviewing the nsa in the coming days, of course, with response from critics as well. now the money lead, that will lookly be the last major decision of his ten use, and, boy, was it a doozy. today fed chair ben bernanke announced that the fed will start scaling back some of the billions being pumped into the economy each month as part of the massive stimulus plan. starting in january the federal reserve will buy $75 billion in b...

Month that puts the seasonally adjusted rate at its highest level in nearly six years. it is decision day for the federal reserve, at 2:00 p.m. eastern well learn whether the u.s. central bank will continue its massive stimulus program or if it will pull back on the $85 billion in bonds its been buying every month. youve probably heard this move described as tapering, but what does it mean for you? alison kosik is in new york to tell us. good morning. >> good morning, carol. what the federal r...

>> ladies, thank you ve disagre. look at ts. eating up the ns today. fed chief ben bernanke will be trimming but not slashing the stimulus. the dow soaring 300 points to the 45th record high of this year. to sandra smith on this tapering takeoff. >> unbelievable reaction from the stock market. the dow jones industrial average closing at a new all-time high. 16,168. the s&p 500 a gauge of the broader stock market covers 500 u.s. companies hitting a all-time high closing at 1810. the previous hi...

What do you think hes going to announce in 90 minutes. weve got to the figure this thing out. >> the best guess is there will be no tapering today. no tapering today. its going to be in the first quarter of next year. january or march meeting. because what the fed has said again and again is that their decision will be data dependent. whats the numbers showing? yes, they showed in the last quarter the u.s. economy growing 3.6% annualized. unemployment is now the down at 7%, which was his so-call...