Senin, 08 November 2010

Weekly Market Review November 8th, 2010

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Dear zulkarnain,

Weekly Market Review
November 8th, 2010

This past Wednesday, the Fed Reserve Bank finally announced a second round of quantitative easing (QE) totaling $600 billion. The Fed's QE is a program whereby the Fed buys primarily U.S. government bonds and mortgage securities to lower effective rates in the market. The Fed's main reason for using this tool, the effectiveness of which is still in question, is to spur demand in the U.S. real estate market by holding long term rates low for an extended period.


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