Wednesday, June 26, 2013

Obama on Bernanke - the impact on financial markets

In an interview with talk show host Charlie Rose, Obama compared Bernanke to departing FBI Director Robert Mueller, saying, "He's already stayed a lot longer than he wanted or he was supposed to."

This had the expected effect of increasing the level of uncertainty in the financial markets. This makes Chairman Bernanke a lame duck waiting to be replaced. It is hard to think about the end to QE3 or cuts in bond purchases until we know who will be taking the place of Bernanke.

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