Home

Short Takes BLOG

QE Video Part 2

About Us

BMSI Index

80-20 Correction Index

Part 1 of 6: Quantitative Easing Explained - How Does It Work:

There are many misconceptions about quantitative easing and the Federal Reserve’s QE program. This video explains in detail how quantitative easing works in the real world. QE is about broker-dealers, financial markets, asset prices, inflation, and balance sheets. Quantitative easing has very little to do with traditional banks and bank reserves, nor is lowering interest rates the primary objective. This video provides a definition of QE, while showing the flow of the Fed’s newly printed money to the primary dealers and their customers. The printed money enters the real economy immediately, either by way of the account of the broker dealer, or the account of the broker dealer’s customer.

Below is part 1 of the 6 part series, this link will take you to QE Video Part 2.



Quantitative Easing: How Does It Work - QE Explained

Ciovacco Capital's YouTube Channel

Video: About Us

QE Videos - Main Menu

Home

Terms of Use. This video/article/blog contains the current opinions of the author but not necessarily those of CCM. The author’s opinions are subject to change without notice. This article is distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. The charts and comments are only the author’s view of market activity and aren’t recommendations to buy or sell any security. Market sectors and related ETFs are selected based on his opinion as to their importance in providing the viewer a comprehensive summary of market conditions for the featured period. Chart annotations aren’t predictive of any future market action rather they only demonstrate the author’s opinion as to a range of possibilities going forward. All material presented herein is believed to be reliable but we cannot attest to its accuracy. The information contained herein (including historical prices or values) has been obtained from sources that Ciovacco Capital Management (CCM) considers to be reliable; however, CCM makes no representation as to, or accepts any responsibility or liability for, the accuracy or completeness of the information contained herein or any decision made or action taken by you or any third party in reliance upon the data. Some results are derived using historical estimations from available data. Investment recommendations may change and readers are urged to check with tax advisors before making any investment decisions. Opinions expressed in these reports may change without prior notice. This memorandum is based on information available to the public. No representation is made that it is accurate or complete. This memorandum is not an offer to buy or sell or a solicitation of an offer to buy or sell the securities mentioned. The investments discussed in this report may be unsuitable for investors depending on their specific investment objectives and financial position. Past performance is not necessarily a guide to future performance. The price or value of the investments to which this report relates, either directly or indirectly, may fall or rise against the interest of investors. All prices and yields contained in this report are subject to change without notice. This information is based on hypothetical assumptions and is intended for illustrative purposes only. PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS.