The withdrawal of investment banks as market-makers could cause problems if bond investors rush for the exits amid QE tapering, but BlueBay sees continued flows.
Tag : qe
The US Federal Reserve's exit from quantitative easing won’t spark emerging-market panic, as monetary tightening once did in 1994, believe investors, economists and analysts.
There is one risk they’re not focused on: resurgent economic growth raising the prospect of monetary tightening to fight inflation. It shows how hooked markets have become on QE.
The bar for a new round of quantitative easing is high, but Europe casts a shadow over US recovery, says Atlanta Federal Reserve Bank's Dennis Lockhart.