Toronto Stock Exchange was able to get a bounce today from the announcement in the United States Federal Reserve, it will provide a stimulus to the economy.
Major markets tumbled after THE FED open market Committee announced it would spend $ 600 billion United States in June next year to buy assets, but unlike other Canadian benchmark indices, the s & P/TSX has restored this cause and closed in positive territory.
Loonie's initial reaction was to jump up within half a cent of parity, but then he pulled after FED sank in investor relations. Canadian dollar finally closed at 99.32 cents profit from the United States, 26 basis points.
Not a big upward movement in markets commodity price and does not imply that the markets are already priced in the $ 600 billion.
The FED'S announcement of a new stimulus, now called the QE2, TD economics, senior economist James Marple warns that quantitative easing can only do so much.
Credit will continue to be constrained by household deleveraging and uncertainty in the housing market, and there is little reason to believe that an additional $ 600 billion, significantly alters this paradigm reserves "Marpl wrote in a note."At least the QE2 must succeed in holding down interest rates and to give more time for recovery to gain momentum. "
Brak komentarzy:
Prześlij komentarz