After the turmoil of Monday, all eyes turned to the Federal Reserve to see how the central bank and its chairman, Ben Bernanke, would react. Most of the speculation focused on whether Bernanke will announce a third round of quantitative easing, or EQ3.
But even if the speech is possible on Tuesday morning recycled QE3 notice, some economists said it was unlikely to move.
According to James Rickards, senior director of Tangent Capital Management, is the only public expect the Fed Tuesday is the status quo.
In an interview with the correspondent Daily Rickards, then it would not exclude it in the coming months, the Fed did not announce a Tuesday QE3 cites three main reasons.
To begin with, Rickards said, "the Fed lacks credibility, since the QE2 has failed." It 'also a great central bank planned to be held in late August in Jackson Hole, Wyoming, and the Fed likely to keep the discussion from the third round of the quantitative easing. And finally, there is Europe.
As European countries began to experiment with their serious financial difficulties, have recently started to push its own version of QE, or what he calls Rickards "EuroTarp".
"It must be approved by all members and will take a couple of months," said Rickards. "Probably the Fed wants to coordinate its efforts with the European Central Bank, the first and there was no time to do so since the euro crisis erupted recently."
In fact, according to Rickards, the economy would "much worse before getting to EQ3."
Anthony Randazzo, Director of Economic Research of the Reason Foundation, agreed, saying TheDC a second round of quantitative easing is unlikely at this point.
"When it comes to the Fed is considering its options you must consider the problems," says Randazzo. "And other than acquiring the entire system, unresolved, Bernanke can not do much. We have a Contracting State for the economy, which had goosed the debt, but is now to reduce debt."