Earlier today the FED released its new "official" POMO schedule for 2011. Between tomorrow and February 9, POMO activity will reach a massive $112 billion. This should keep the stock markets afloat a few more weeks. During this time, the USD should sink unless the media focuses the sheople again on the relatively minor problems in Euroland vs. the bankrupt U.S. nation, states, and cities. Similar to the stock markets, gold and silver should flourish during this period unless J.P. Morgan goes into overdrive mode.
Regards - VHF
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First POMO Schedule Of 2011
Roger Nachman
January 12, 2011
The first permanent open market operation (POMO) schedule for 2011 has been released.
The New York arm of the Fed will buy $112 billion between now and February 9. Of the approximate $112 billion being purchased, $80 billion is from the second round of quantitative easing, and $32 billion is from principal payments from agency debt and agency MBS expected to be received between mid-January and mid-February.
There are no double POMO days, as there has been in the past two schedules.
