Posts in "Fed News Friday"

Megan Duffield's picture
By Megan Duffield at 3:15PM

Silver Circle's Fed News Friday...a Day Early!

The holidays have put a damper on the information channels of the Federal Reserve. Instead of the news being densely populated with stories of the economic stylings of the central bank, we've been hearing stories about Christmas shopping and snow storms. Enough of that; let's get back to the crooked system so we can learn more about it in order to change it!

As most of you know, the Fed announced its second round of stimulus (QE2) back in November, and according to recent articles it looks as though the $600 billion dollars will be dished out from now until June in order to decrease joblessness and push the economy into a more stable state. The first round of stimulus was "not enough," so clearly the answer was to repeat an unsuccessful strategy yet again.


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Megan Duffield's picture
By Megan Duffield at 11:29AM

Fed News Friday from Silver Circle

To Wall Street she is considered "the inflation dove," but after Wednesday's hearing she will now be named the Vice Chair of the Federal Reserve. Janet Yellen began her work with the Fed back in 1994 when she entered as a Board member. Later she headed up her own branch in San Francisco...but now she is on to bigger things. Let's take a moment to learn how this new appointment will affect the economic policies of the future.

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Megan Duffield's picture
By Megan Duffield at 7:58AM

Fed News Friday from Silver Circle

Top of the day, everyone! Wow, this week went by fast; now onto more shenanigans from the Federal Reserve and their counterparts...

Tuesday was a big day to keep your ear to the ground on the banker's decision to further ease the economy.  Looks as if QE2 is coming right around the corner.  However, Bernanke's concern right now in the public's eye is assuring investors and consumers that Fed officials aren't fighting two different fights.

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Over the summer, the talk on the economy was divided between inflation hawks and those with deflationary fears.


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Megan Duffield's picture
By Megan Duffield at 7:43PM

Oh No...Not...Deflation *GASP*

If you have been article hunting like myself on this fine Fed Friday, you will notice one special word that is floating amidst our sea of information:  deflation.
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It seems as though the Federal Reserve chairs and board members across the country have their knickers in a bunch over what appears to be one of the biggest threats to the recovering economy. Aside from a few branches (Philly & Kansas City) most Fed members are calling for action to combat what could be a "Japan-like" deflationary trap.
Let's begin here by looking a little bit further into deflation itself...
Deflation is the increase in the value of money which then allows for the prices of goods and services to lower, because your money is worth more. Deflation can happen for many reasons combining supply and demand, however some of the most basic reasons for deflation are the increases in the supply for goods, people saving (hoarding) money, and the contraction of the money supply.

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