Proof that the Fed Will Soon be Buying Stocks Nestled in the contract the Fed signed with BlackRock is the following language: Subject to this Agreement, including the Investment Guidelines (as defined in Section 5.1), the Manager is hereby appointed as the FRBNY’s agent in fact, and it shall have full power and authority to act on behalf of the Account with respect to the purchase, sale, exchange, conversion, or other transactions in any and all stocks, bonds, other securities, or cash held for investment subject to the Agreement. [Emphasis my own.] Source: New York Federal Reserve Let me ask you… Why would the Fed authorize BlackRock to buy stocks if it wasn’t planning on announcing this later this year? The Fed could have easily said it was authorizing BlackRock to only buy ETFs, bonds, and the other investments that it planned on purchasing (via the nine credit facilities it set up with the US Treasury in late March). So why include stocks… an asset class the Fed has yet to approve for ANY purchases whatsoever?! The Fed would only do this if it knew it would be announcing a new QE program to buy stocks later this year. No Longer a Secret? According to my research, it looks like the Federal Reserve is about to make its stock buying official. But if you’ve been following my work, you know I’m convinced that it’s been secretly buying stocks for years. And thanks to a recent research breakthrough, I’ve discovered precisely how and when they do it. I’m talking about market-boosting trades that are so enormous that they can only come from the Fed… They happen just about every week when the stock market gets weak… And they send prices soaring in under two hours. If you’d like to learn more about this little-known market phenomenon… and how you can track these trades for potentially thousands in consistent gains… please click here. Best Regards, Graham Summers Editor, Money & Crisis |
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