- The Money GPS
The real economy is still weak. That hasn’t changed. What has changed is the Fed has been actively pumping up the markets again. The financial analysts have been salivating at this since the Fed shut down QE3. Now investors see this is a free pass until at least April while the Fed keeps this going. They won’t be able to stop it unless the ECB and the BOJ pick up the pace, so that remains to be seen. WIthout their willingness to inflate their currency, stocks would be decimated. The question is, will they persist forever?