Each such episode only confirms the markets' belief that a "Powell Put" will continue to prop up elevated asset prices and growing debt and leverage (just as they believed in a "Bernanke Put
" and a "Yellen Put").
Or, as Bernanke put
it: "In 2020, Wile E Coyote is going to go off the cliff, and he's going to look down" - the stimulus will run out just as Trump is campaigning for re-election.
Firms and households have so adapted to that policy regime that it has been called "the Bernanke put
" -- a contracted options price putting a floor beyond which the stock market cannot fall.
in place to help the economy recover from the worst recession since the 1930s.
Whilst estimates foretold that QE tapering was in the cards to be announced at last week's Minutes - as was an imminent end to QE altogether by mid-2014 - neither topic came up seeing as the mere anticipation of Yellen coming to power in January made Bernanke put
the QE subject on pause until she adopts the strategic decision making role.
Fed chairman Ben Bernanke put
markets on notice in May that "tapering" was likely this year.
As Bernanke put
it, "We're looking for ongoing, sustained improvement in the labour market."
Big-time political pressure is on to establish a permanent "Bernanke put
Chairman Bernanke put
forward a rule that adhered to the principles of my bill, and 56,000 Americans expressed support for the rules, the largest comment response ever.
In doing so, it has replaced the Greenspan Put with a Bernanke Put
. The U.S.
This so-called 'Bernanke put
' (after the Federal Reserve's chairman, Ben Bernanke) should help reassure the markets, even if this particular white knight doesn't need to be called in.
At a recent central bankers' meeting, Fed chairman Ben Bernanke put
it bluntly: "Unless the economy begins to grow more quickly than it has recently, the unemployment rate is likely to remain far above levels consistent with maximum employment for some time." But there are few good and practical ideas on how to create jobs.