Can Bernanke’s Successor Get The Fed Moving in the Right Direction?

Compass

“Can Bernanke’s Successor Get The Fed Moving in the Right Direction?”

It may be harder than usual.

Bernanke’s 2nd term is ending in January. Obama made it clear that Mr. Bernanke has stayed “longer than he wanted” last week.

There is no definite decision on the exit of Bernanke, let alone the replacement of Bernanke. Nevertheless, Cheif U.S. economist at JPMorgan Chase Michael Feroli said “Whoever comes in this time is going to inherit a pretty rigid structure.” (Bloomberg)

“Usually, the Fed chairman comes in with a clean slate to do whatever they want,” Michael said.

QE Momentum

A new Fed Head would not be able to quench the momentum of the current QE3 quantitative easing efforts, if he wanted to. Since Bernanke got the “ball rolling”, so to speak, a new Fed Head would be stuck with trying to gradually Taper U.S. stimulus efforts.

The USD has been surging upward, soaring since the FOMC meeting last week. I would think that the USD against the EUR will weaken and pull back some this week because of the 1.30 area resistance.

Click here to learn What is Tapering?.

For news updates and more fundamental analysis, follow Tony on Twitter. Follow the Winner’s Edge account, Casey’s twitter account, Nathan’s twitter account, and Tim’s twitter account too for Forex analysis, and trade ideas!

For Nathan’s most recent Technical Analysis click here!

here_for_you_001

1359774937_facebook 1359774984_linkedin 1359774949_twitter 1359774960_google 1359774973_rss 1360027635_youtube
Connect_With_Winners_Edge

Get trade set ups everyday!

The following two tabs change content below.
Winners Edge Trading was founded in 2009 and is working to create the most current and useful Forex information and training available on the internet.

Latest posts by admin (see all)

Winner’s Edge Trading, as seen on:

Winner's Edge Trading in the news