about what can be done to salvage the US economy will be dominated by whether the Federal Reserve will launch a QE3. So far, the Fed has reported that unemployment, housing, and consumer spending have been strong enough to keep the option off the table. Some Fed members believe that a new round of easing will create inflation. Others says it is a small price to pay to keep GDP at a level of better than 2% improvement. An announcement of QE3 may be the only factor which could drive the markets back up. But, between now and any proclamation by the Fed, the arguments on both sides may impact trading.
Douglas A. McIntyre
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