Every time this has been the case in history, it has ended in bubble and tears.
Steen Jakobsen, chief investment officer at Saxo Bank, casts doubt on the long-term effectiveness of US Federal Reserve stimulus measures. Global markets leapt after it was announced that the Fed would pump $40bn into the US economy each month until it saw a sustained upturn in the weak jobs market. “This could be the day where the Fed did too much”, Jakobsen added.
Helen Roxburgh is the online editor of economia.