TAPER A CHRISTMAS GIFT FROM BERNAKE

Hi everybody financial year 2013 in close to end.It was a year which the main economies has reported signs of recover but not enougf.These small economic increases give us the hope that 2014 will be much better.

The most performing economy is with no doubt UK economy with 0,8 % GDP growth in Q3 2013 compared with Q2 2013 and unemployment rate drops to 7,6%
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Central banks leaders in hope to revive thier economies created special tools such quantitive easing as they are called but for this subject I "ll write in other article.

Bankers from Ben Bernake to Kuroda adopted such tools to improve local economies.To end 15 years of defalation the Japan Central Bank governor Haruhiko Kuroda launced a series of measures such local assets purchases which reach up to 6 trillion yen in hope to hit 2 % inflation in 2015.Analysts are skeptical that BOJ will hit the inflation target,but will se what's going happen.

Almost the same situation is in United States.Federal Reserve is using quantitive easing  to help us economy to recover by it's monthly asset purchase program.But economis situation in USA differs greatly from Japan.In november us added 203 k more jobs and the unemployment rate drop to 7,00%  making speculation that Fed is ready to taper it's 85 billion $ assets purchase.

Fed chairman Ben Bernake say:"Fed will continue the easing policy for a long as needed"
Despite it was informations that FED will reduce the program in september Bernake has surprised everyone including me to announced that FED will maintian stimuls.

It seems that FOMC meeting in december will be the main event on financial markets.A reducing of bonds purchasing could be seen as a Christmas gift from Bernake at the end of his mandate as Federal Reserve chairman.

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