Social and Behavioral Sciences Commons^™

The Effects Of The First Round Of Quantitative Easing On Stock Prices In The United States, William Manak

Empirical Economic Bulletin, An Undergraduate Journal

This paper examines the effects that the first round of the large-scale assert purchases known as Quantitative Easing (QE1) had on US stock prices. The paper focuses on the time period starting from the announcement of QE1 to before the second round of Quantitative Easing had been announced. This paper hopes to find a significant effect of stock prices in China as well as the exchange rate between the two countries, as the US and China are major trade partners. The effects of Chinese stocks and the exchange rate will be compared to the lower interest rates that had resulted …