Next Major event

Next Major event is this Wednesday-Thursday, as the Federal Reserve bank announces their next action.
Most of the market pundits expect they announce a new Quantitative Easing program. (loose money).
Some believe the Fed started the QE weeks ago, explaining the market rally.

One thing is for sure, the market expects some meat on this meeting.  If there is ZERO easing, the market may react badly.  I expect there will be some sort of QE indication or program started.

Federal Reserve Bank meeting times

Federal Reserve Bank and Quantitative Easing 2

If you haven't heard, the Federal Reserve Bank pledged to purchase 600 billion in US treasuries in the next 8 months as part of Quantitative Easing, part 2.

While that is a boat load of cash, (or should I say, fraudulent money printing...), it really isn't that aggressive. Notice the Fed didn't announce more bad mortgage purchases. The Fed did leave the door open of course, to change direction at any time it sees fit.

So for now it seems, the market is rising on expectations of the QE2, and natural resources are rising. Gold is near its all time high from just a few weeks ago, when I sold 1/2 positions.

Today I added a little, I am still a bit skittish, mainly since the "direct play" is usually the wrong one.

In any event, the bloggers where at it. Some REALLY great pieces on FOMC and Ben Bernanke, I recommend reading all of them. For those with less time, read the first.

Ben Bernanke's Folly: The End Game

Three reasons why Quantitative Easing will backfire.

America's Alarm Clock has Rung

A GREAT Video critiquing of Quantitative Easing