Re:Blowing the Whistle on the Mortgage Bubble
by snowwrestler on Saturday January 26, 2013 @01:12PM
(#5121125)
The Fed is using quantitative easing to lower market interest rates because their typical lever against market interest rates--the interest rates of short-term U.S. Treasuries--was already effectively zero.
They were already effectively zero because there has been such strong demand for U.S. Treasury bonds from customers both domestic and foreign, which was my point at the beginning.
They were already effectively zero because there has been such strong demand for U.S. Treasury bonds from customers both domestic and foreign, which was my point at the beginning.