FINANCIAL TIMES: The US Federal Reserve has stepped back from another round of quantitative easing, with only two out of 10 voting members saying it “could become necessary”, according to the minutes of its March meeting.
That is in marked contrast to January when a “few” members of the rate-setting Federal Open Market Committee thought that economic conditions could justify another round of asset purchases “before long” and several more thought that additional QE might be needed.
The change suggests the Fed is unlikely to launch a third round of quantitative easing, QE3, unless the economic outlook weakens. The minutes triggered a sharp rise in the dollar, a sell-off in gold and a rise in Treasury yields… (more)
