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If stocks are doing so well. why does the Fed continue easing polices? Wouldn't now be an OK time to at least cut the monthly amount?



> If stocks are doing so well. why does the Fed continue easing polices?

The Fed doesn't really care (directly) about the stock market -- the Fed's key concerns in monetary policy are (1) managing inflation, and (2) promoting full employment.


Stocks are only doing well because of the Fed's easing policy. When they suggested even moderating the easing a month or two a go the market took a dip and they decided to just keep doing it a little longer.


The index also isn't adjusted for inflation, I believe.



Well, the Fed is getting towards the end of its easing policies, assuming the promising employment data trend continues into the new year. What the article is saying is that the market seems to be getting past its anxiety about what that will be like:

“The market is becoming more and more comfortable with the tapering talk,” said Andrew Zimmerman, chief investment strategist at DT Investment Partners, in an interview.




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