The Economy is Slowing But Future Standard QE Programs are Unlikely


(MENAFN- DailyFX) The global economy is slowing and the financial cracks become more obvious as the waters recede. After years of receiving extraordinary support from central banks - both through the height of crisis and well into recovery - the immediate presumption is that central banks will step up their efforts to try and ward off economic stagnation and financial market loss. Yet, those expectations may be misplaced. The world's largest central banks have not curbed their support in a meaningful way since the initial rescue was mounted in 2008. That leaves relatively limited room to escalate on anything but a coordinated effort and operates under expectations of a different outcome from more of the same support. Furthermore, at these levels of exposure, the 'cost' of such extraordinary measure grow increasingly rich. What does the future hold should global headwinds continue to build? We discuss that in the weekend Strategy Video.


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