XAGUSD - june Bernanke - Twist- QE3

June 20, 2012

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XAGUSD - june Bernanke - Twist- QE3

Update - At 2:30 EST same day Bernanke updates his earlier news release. At this time he states that the Feds sort of overestimated the Ameriran recovery and that the Twist 2012 package released today would be the last of its kind for the time being as this particular strategic financial weapon was tapped. Any further fiscal stimulus would require another type of weapon ( likely QE3 ).



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XAGUSD - june Bernanke - Twist- QE3

Original Post

Ben Bernanke of New York Federal Reserve released some information regarding the economy.



more twisting - less qe3
we have it under control Mr P.

 Meanwhile everyone was speculating about the effect of such news on the price of metals, including silver which was pushing back and forth between 28 and 29 USD for the period leading up to the Bernanke news release of June 20, 2012.

Are the markets headed down if Bernanke does not agree to some form of quantitative easing today ?

After the release - no great surprises - no additional quantitative easing today - extra 287 billion released is Twist cash.

XAGUSD went to 27.75 and then back above 28 to 28.25.








Twist - Operation Twist 2011 is an FOMC strategy whereby the Federal Open Market Committee can access money. It was implemented in 2011 as a means of buying up some 400 billion dollars in bonds with maturity dates of 6 to 30 years. The same strategy included the selling of shorter term bonds. The Feds maintained that it was a measure necessary to extend the maturity of their portfolio and also an attempt at doing what the Quantitative Easing ( money printing ) attempt had failed to do.

Operation Twist 2011 was a spin off or continuation of a strategy meant to flatten the yield curve which was adopted in 1961.