Fed wrong not to start QE tapering, says UBS economist
The surprise decision by the Federal Reserve last month not to scale back its quantitative easing programme will create more volatility, says economist
The US Federal Reserve made a mistake last month when it decided not to scale back its quantitative easing programme, and the result is likely to be increased market volatility, according to a senior economist.
The Fed announced on September 18 it would keep its asset purchases steady at $85 billion per month, surprising market participants who had interpreted comments from chairman Ben Bernanke in May and June to mean a tapering would begin before the end of the year.
The Federal Open Market
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