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Capital Economics

The leading macroeconomic research consultancy

US Housing Market Update

US Housing Market Update

Fed sticks to its guns

The Fed was always going to leave the size of the second round of quantitative easing (QE2) unchanged today as it is too soon to judge whether it has been a success or a failure. If we are right in expecting the unemployment rate to remain very high and inflation to remain very low, then QE2 will probably be completed in full.

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