Adam's always good value:
"This whole saga is going to get a whole lot more interesting I reckon. Not only is there is an army of high profile and well respected economists who oppose the economics of Qe2, and certainly Friday’s payrolls imply that further action wasn’t needed, but a strong case can be made that the Fed has exceeded its monetary policy mandate. There have been long held concerns about Fed actions blurring the lines between monetary and fiscal policy and of course there are serious foreign policy considerations as well. This is going to irk people like Paul Rand (Republican Senator) and Paul Ryan - who is apparently a heavy hitter in the new HoR and a strong contender for the House Budget Committee Chair. He suggested on Sunday that the Fed was destabilising the investment outlook and setting the stage for inflation down the road. An increasing number of people are asking why a ‘semi-private’ unelected institution gets to dictate US monetary policy, fiscal policy and gets to have a say on foreign policy as well. This could be something to watch."
