QE3 is On in a Big Way!

What did the Fed just say?

1. It’s worried about unemployment. (Gee.)

2.The Fed Funds Rate is to stay just a shade above 0% until 2015. 2015!

3. The Fed will buy $40 billion per month of mortgage backed securities (MBSs.)

4. The Federal Reserve intends to stay easy even if the economy heats up. (I wonder why gold is up $26 for the day at this moment.)

The market is up at this moment by 108 points. A strong move up but weaker than I bet the Fed would have liked.

If the market turns before the end of the trading day—that would be very interesting.

This is a bold statement.

You can watch Bernanke’s press conference at 2:15 HERE.