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QE2 is economic voodoo to many

Commentary: Europe's rescue plan is blarney for Ireland

The immediate aftermath of the QE2 (the Federal Reserve's Plan B quantitative easing strategy) announcement has not gone well: Mortgages rose to their two-month highs, near 4.25 percent, and the yield of 30-year T-bonds exploded from 3.93 percent to 4.32 percent. QE2 has an immediate problem: Treasury yields are stone low because the whole world ran to our paper for safety, and now the Fed proposes to make that paper unsafe by printing cash to finance it. However, it is early: the Fed has yet to buy the first QE2 Treasurys, and the event will go better than the news. Economic data ... during my Irish mother's long-ago visit to the Emerald Isle, the best forecast for weather called for a "bright interval," and our economy had the same in October. Even the grumpy National Federation of Independent Business survey of small business improved, though more reconciled to lousy conditions than truly better. New unemployment filings touched a 2010 low at 435,000 last wee...