To taper or not to taper

Discussion in 'Markets & Economies' started by Scyb, Dec 14, 2013.

  1. Scyb

    Scyb Member Silver Stacker

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    So who here wants to have a punt on whether they are going to taper or not?

    My feeling is that they will not taper and maybe even increase purchasing, claiming that they want a quicker recovery to the economy so they can 'end' the program altogether in a quicker timeframe. Maybe +10 bil/month?

    Gold/silver will get smashed at the start of the week, so when this kicks in, we will be back to where we are now :D

    Any thoughts?
     
  2. petey

    petey Active Member Silver Stacker

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    And the USD?
     
  3. Old Codger

    Old Codger Active Member Silver Stacker

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    They will not!
     
  4. Holdfast

    Holdfast Well-Known Member Silver Stacker

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    How can they?

    If the US taper the stockmarket will crash.
     
  5. Old Codger

    Old Codger Active Member Silver Stacker

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    ......and the bond market!
     
  6. LovingtheSilver

    LovingtheSilver Active Member Silver Stacker

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    They won't taper in 2013, most likely 2014 sometime. Can't see them increasing it.
     
  7. Scyb

    Scyb Member Silver Stacker

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    If they taper, would you think the stockmarket will crash straight away or a delayed response?
     
  8. TheEnd

    TheEnd Well-Known Member

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    Explain how please.....Do you mean because there wont be enough liquidity within the system with which the stockmarket has been relying on and using to its advantage?
     
  9. Scyb

    Scyb Member Silver Stacker

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    ^ I am assuming because the easy money is leaving and people will take their money from riskier assets like stocks and put it into safer assets
     
  10. TheEnd

    TheEnd Well-Known Member

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    Safer assets like Gold and Silver maybe?
     
  11. Scyb

    Scyb Member Silver Stacker

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    dont think so. More like back into bonds or cash
     
  12. AngloSaxon

    AngloSaxon Active Member

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    The easy money is leaving so it's all flowing into even riskier vehicles like credit default swaps.
     
  13. Caput Lupinum

    Caput Lupinum Well-Known Member Silver Stacker

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    umm I'm going to guess they'll taper by $10B...
     
  14. SilverSaviour

    SilverSaviour New Member

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    I'll believe it when I see it, even then Ill still have doubts ;)
     
  15. Caput Lupinum

    Caput Lupinum Well-Known Member Silver Stacker

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    Should be interesting to watch the markets reaction to this once it's had a few sessions/days to digest it. The yield on the 10Y US treasury in particular
     
  16. Earthjade

    Earthjade Member

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    Any taper they try is just going to send stock prices south - anyone with half a brain knows that.
    They're free to taper all they want so long as they don't mind seeing the Dow Jones at 4000.
     
  17. LovingtheSilver

    LovingtheSilver Active Member Silver Stacker

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    I'm surprised they tapered, even more surprised by the indices rising like they have. I don't think I will even understand market dynamics.
     

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