Fed & ECB Petrified, This is Exactly What Will Trigger More QE
June 7, 2012
With tremendous volatility in global markets, the question everyone wants to know the answer to is: When will we see QE3? Today Michael Pento told KWN he doesn’t think that “Banana Ben Bernanke is ready to push the panic button right now.” Pento, of Pento Portfolio Strategies, also told KWN readers exactly what five things to look for that will trigger QE3. Here is what Pento had to say about the situation: “Unfortunately, in Pavlovian fashion, investors have been taught that any time the market has a hiccup, that the Fed would come in there and rescue them. It happened with the housing crisis, and before that with the Nasdaq bubble.”
Michael Pento continues:
“You have to remember that just a few weeks ago, we had surveys taken from CNBC saying that QE3 wasn’t even close to being on the table. Now, because we just had a non-farm payroll report which shows we just had a pitiful 69,000 jobs, and we lost 15,000 goods producing jobs, had the lowest factory orders in six months, now people are clamoring for QE3.
I think QE3 is coming, Eric, I just doubt it’s coming in the next few weeks….