Daily Reading on the Financial Markets: 9/20/12
John Goltermann on the “experimental economy” we have embarked on with with QE-infinity in the U.S. (and similar accommodation worldwide).
From Zero Hedge, retail investors continue to reject the Fed’s effort to induce them into stocks as equities have now showed net outflows in 32 of the last 37 weeks.
From PragCap, charting the Fed’s announcement of QE3 while market stress indicators are showing no sign of stress – the opposite of their approach with QE1 and QE2.
Similarly, ace technical analyst Chris Kimble notes that the QE3 announcement comes with the market already bullish and facing resistance.