Fed's Bullard sees rates on hold after QE2

Hah knew it! This is the first sign that there will be QE3, although it probably won't be called that. They can't raise rates because there is no recovery and doing so would completely wipe out 50% of the stock market. What does this mean. Higher gold and silver. Keep buying as much physical as you can.

Notice that the ratio has gone back to 44, as gold has climbed, while silver remains flat. The floor for silver at $35 is getting stronger with each passing day. Every time it goes below it bounces back up like a beach ball pushed under water. Every paycheck right now I am accumulating both phyzz and PSLV.

Hi Ho Silver.

====
Fed's Bullard sees rates on hold after QE2

http://www.marketwatch.com/story/feds-bullard-sees-rates-on-hold-after-qe2-2011-05-23?link=MW_story_latest_news

SYDNEY (MarketWatch) -- The Federal Reserve is likely to keep policy rates on hold after QE2 to provide more time to evaluate the strength of the U.S. economy, a top official said late Monday. Federal Reserve Bank of St. Louis President James Bullard said the central bank is likely to keep its commitment of near-zero interest rates for an "extended period," after the expected June expiry of its asset purchases. "Past behavior of the Federal Open Market Committee indicates that the Committee sometimes puts policy on hold," he said, noting that a pause "gives the Committee more time to assess economic conditions." Speaking in Missouri, the St. Louis Fed president repeated calls for the central bank to abandon its use of core inflation, in favor of a wider measure. Bullard also warned that while commodity prices cannot continue to increase forever, "it is at least a reasonable hypothesis that global demand for energy will outstrip increased supply over the coming decades."

====

z