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How stocks, bonds will react to Fed surprises
Investors see room for a rally in Treasury bonds and equities if the Federal Reserve confirms expectations and announces this week fresh monthly purchases of Treasury bonds. The central bank probably doesn’t want to rock the boat as the economy approaches the fiscal cliff, and that monetary support could boost both stocks and bonds. Read: Fed to do what it can to ease cliff uncertainty. “The Fed may intensify its programs to keep rates low and the dollar strong enough for the economy if we go over the fiscal cliff,” said Jim Russell, senior equity strategist at U.S. Bank Wealth Management. “They’re not ... (full story)
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There is always a price for promises you don't keep!
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