Yesterday Ben Bernanke announced QE3 whereby the Fed would be buying $40 billion per month of mortgage Backed Securities indefinitely. What most people missed was there’s another $45 billion of Treasury monetization that’s already taking place every month via Operation Twist, as well as the Fed’s ongoing reinvestment of proceeds from maturing mortgage and agency debt, bringing the total to a cool $85 billion every 30 days,

or roughly $300 billion between now and Christmas.

Source: The Daily Bell

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