Wednesday, June 19, 2013

Stocks Slide as Bernanke Announces More QE Infinity

JeeYeon Park
cnbc.com
June 19, 2013

Stocks accelerated their selloff in the final hour of trading to end near session lows Wednesday, after the Federal Reserve said it will maintain its bond-buying program, though Chairman Ben Bernanke hinted that the FOMC plans to moderate purchases later this year.

“They don’t tie themselves officially into anything but it’s clearly what they’re going to do,” said Jim Paulsen, chief investment strategist at Wells Capital Management. “I think he’s more clearly said today than at any other time that he’s going to taper before the end of the year, and there’s a possibility he could be done by the middle of next year.”

The Dow Jones Industrial Average tumbled more than 200 points, wiping out most of its gains from the last two sessions. The blue-chip index logged its seventh-straight triple-digit move.

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