Five days until Fed Tapers or not?

I'm pretty sure someone said 18th Sep is the day that Bernanke announces Taper or No Taper...... I don't think they will the U.S economy is still very poor going by Peter Schiffs latest..

http://www.youtube.com/watch?v=lfdoqS9IO7g

 

Even though I am sure they are stupid enough to attempt a taper... it would be suicide and have to be both rescinded, apologized for and stepped up shortly afterwards.

There is major mumbling in the MSM about it's certainty so you can expect taper to be priced into gold and stocks a fair bit

So in the event of a taper an initial sell, but strait after it will be "buy the fact" in the case of gold.

And for no taper expect a smack down to flush stops then a rocket.

 

That's how I see it playing out. Rising bond yields will force the Fed to crank up the printing press again

 

I have often mulled over regarding the time frame between the smack down, and the commonly perceived rocket scenario. Any thoughts on the time frame?

I have an inkling that it would be circa 4-6 months.

 

Yeah 4 to 6 months sounds good to me. It would coincide with Obamacare kicking in on the 1st of January which is still considered an economy killer depsite it getting continuely watered down.

 

How can anyone know whats going on when all the figures are spiked either up or down.. What magicians they are.

Regards Errol 43

 

If no taper I think smack down just before announcement to bring the price down as much as possible so that no taper is less effective. The sell off last night could've been a smack down to compensate for a no taper scenario, we would never know.

 

If there is a taper It'll be interesting to see just how far the market has already priced it in. I still see a decent drop on Wednesday night but by the end of trading on Friday it should hopefully have stablised. Should be a great buying opportunity

 

Market forces will dictate the end of tapering whether it is this month or next year but taper in itself should not be the focus. Gold rises and falls due to the underlying confidence. Once the bull run in gold resumes, news like tapering will have very little effect on the price trajectory. Watch the U.S. dollar before watching the tapering. Gold must become its own market first and as far as I can see it still inversely moves to the dollar.

 

Im suggesting a taper, but not enough to make much difference

 

Larry Summers has withdrawn from the race for the next Fed Chairman. This is an interesting development as he is considered to have hawkish views in relation monetary policy or more likely to taper. Metals could rally now at least until Wednesday when a formal annoucement is made as it basically guarantees Janet Yellen will get the job who is dovish. So maybe no taper afterall

 

So will taper/No taper effect the aussie economy in any way?

 

Looks like we're back to the insane market behaviour again:

Stop QE - fear of liquidity drying up - PMs down

Continue QE - party continues - stocks up - PMs down

 

http://www.businessinsider.com/clusterstock?IR=T

There's a countdown clock on the right hand side of the page

 

Looks like its going to be along night....... Wonder what the markets will be like in the morning?

 

I think they will announce a pissweak taper - more to get the market used to the concept rather than any real change.

 

Ye I reckon you r right there EJ....... Those guys have so many tricks up their sleeves its not funny...... They're just playing us all for fools.. and screwing with our hard earned savings at the same time!

 

I have my spicy vindaloo, lemon meringue pie and a bottle of wild turkey. I'm set in for a long night

 

Interesting combination - I suggest you're in for a long morning.