By then that prolonged easy money policy had the real estate bubble forming.
Meantime, almost every major central bank in the western and eastern hemispheres is committed to an easy money policy.
FORBES: Three Horsemen Of The Shopping Apocalypse: Apple, Google And Amazon
An easy money policy always hurts savers while trying to help investors.
FORBES: Allow Interest Rates To Rise While Keeping Monetary Policy Accommodative
The biggest positive is every major central bank in the world is focused on an easy money policy that could last several years.
Gross likens the Fed's easy money policy and the government's fiscal stimuli to reinvigorate economic growth to applying a blowtorch to a wet log.
The Fed has kept its easy money policy in effect, and yet the economic recovery stalled once other government stimulus programs expired in the spring.
Some investors are concerned that the market's gains this year are being fueled by the Federal Reserve's easy money policy, and will disappear once the Fed reverses course.
Many market watchers this Bernanke will make remarks meant to reassure the monetary policy doves that the U.S. central bank will maintain its easy money policy for the foreseeable future.
FORBES: A.M. Kitco Metals Roundup: Gold Sees Fresh Safe-Haven Demand on EU Worries; Bernanke on Deck
The past three years the commodity markets, including precious metals, have been boosted by the easy money policy of the U.S. Federal Reserve and other major central banks of the world.
The economic recovery has been progressing so well that it had become almost a sure thing the Fed will begin phasing out its easy money policy and QE stimulus programs much earlier than planned, possibly beginning as early as this summer.
The bottom line: The resumption of easy money policy by the Federal Reserve in the aftermath of the 2008 financial crisis has re-affirmed and broadened the positive correlation of different asset categories, undermining the effectiveness of asset diversification strategy in reducing market risk.
The easy-money policy of the Fed explains why inflation-linked bonds may not be a bad deal for investors.
ECONOMIST: A very unusual sign of confidence in economic policy
Stock valuations will crumble once the Fed abandons its easy-money policy, they say.
The astonishing housing bubble could not have happened without the Federal Reserve's easy-money policy, which got under way in late 2003.
It seems that the US is at odds with G-8 leaders in Toronto with regard to extending the failed easy-money policy rather than taking the medicine of austerity.
FORBES: Home Prices Could Drop 50% As The Great Recession Resumes
Unprecedented efforts by central bankers around the world to stabilize financial systems with easy money policies and other untested policy measures have fueled strong rebounds.
With interest rates declining throughout the 2000s, and a Western and Japanese unified monetary policy of easy money greasing the wheels, investors geared up into equities on margin.
However, what was a bit bearish for the gold market and other raw commodity markets is that the Fed said it is aware of the costs of a very easy U.S. money policy and that it will be keeping a very close eye on U.S. economic growth progress.
FORBES: P.M. Kitco Metals Roundup: Gold Ends Weaker, Mildly Bearish FOMC Statement Weighs
However, what was just a bit bearish for the gold market and other raw commodity markets is that the Fed said it is aware of the costs of a very easy U.S. money policy and that it will be keeping a very close eye on U.S. economic growth progress.
FORBES: A.M. Kitco Metals Roundup: Gold Near Steady as Bulls Gain More Confidence
Part of an easy money, low interest rate monetary policy is to get corporate investors to take on risk and invest their money in production.
To meet that 2% inflation target, Prime Minister Abe has put forth an aggressive ultra-easy monetary policy which will pump more money into the economy and also weaken the yen.
The least significant part of the policy is the promise of easy money through mid-2015, which can be rescinded if the opportunity arises, and the confirmation of operation twist through the end of the year.
Mr Abe has backed the central bank's ultra easy monetary policy, which calls for pumping more money into the Japanese system.
In other words, a historically low stock market in an adverse economic policy environment temporarily propped up by easy money can still be a bubble.
Easy monetary policy in America also creates the incentive for further speculative money to flow into emerging markets via carry trades and other strategies.
So they print money to tell themselves and us a lie, just as easy Fed policy and massive purchases of Treasury securities tell the government the lie that it is creditworthy.
FORBES: Why Interest Rates Tell Lies About Inflation, Growth And Just About Everything Else
Easy money there has done the overall economy no good and it seems that monetary policy has run its course.
Also, the FOMC minutes revealed that in the January policy meeting, officials had mixed opinions on how long the easy-money policies should continue.
It worried that policy-making was stuck as former finance secretary Espiritu (who wanted easy money and strong public spending to boost growth) skirmished with central bank chief Rafael Buenaventura (who wanted to curb the budget deficit and keep the peso steady).
应用推荐