Greenspan: Taper Now, Even If Economy Isn’t Ready; Marc Faber: Even QE99 won’t help US

Former Federal Reserve Chairman Alan Greenspan told CNBC on Friday that the central bank should taper its $85 billion a month bond buying even if the U.S. economy is not ready for it.

“The sooner we come to grips with this excessive level of assets on the balance sheet of the Federal Reserve—that everybody agrees is excessive—the better,” he said in a “Squawk Box” interview. “There is a general presumption that we can wait indefinitely and make judgments on when we’re going to move. I’m not sure the market will allow us to do that.”

But if the Fed moves too quickly in reining in its accommodative policies, he added, it could shock the market, which is already dealing with a very large element of uncertainty.

Greenspan said he’s not sure the markets will allow an easy exit. “Gradual is adequate, but we’ve got to get moving.”


Marc Faber – Even QE99 won’t help US

Marc Faber believes that even though the quantitative easing (QE) by the US Federal Reserve does not benefit the common man, yet it is likely to continue. He also cautions of high market volatility in H2FY14

Markets Might Have Gone Too Far on Taper Talk: Fed’s Plosser