It appears that the time has finally come. After over four years of nearly continuous support, it seems that monetary policy makers at the U.S. Federal Reserve are finally moving toward phasing out asset purchases over the next few months. While investment markets have already been reacting with consternation to varying degrees over this idea in the last few months, the phasing out of QE3 should be the least of investor worries. For as we look out into the long-term, the new Fed leadership starting in January will eventually find themselves dealing with a potential mess that could prove most difficult to clean up. Unfortunately, the potential outcomes once asset purchases end bode ill for the stock market outlook.
Please click on the link to read more of my article on Seeking Alpha.
This post is for information purposes only. There are risks involved with investing including loss of principal. Gerring Wealth Management (GWM) makes no explicit or implicit guarantee with respect to performance or the outcome of any investment or projections made by GWM. There is no guarantee that the goals of the strategies discussed by GWM will be met.