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Its current purchases outstrip the supply of new bonds by around £5 billion per month.
Some four out of 10 current purchases are made with cash, so a limit on lending would have no impact on many buyers.
The Fed probably won't make any changes to current purchases until it is clear that another summer swoon is not on its way, perhaps driven by the impact of fiscal tightening.
Notwithstanding #1, he does worry about a "cliff effect" (ie, a spike in bond yields when the current purchase bond programmes are complete) and leaves open the possibility that the Fed might want to taper off the programmes by scheduling additional, smaller purchases after the current purchases are complete.3.3
We suspect share buybacks will surge to levels that might make the current purchases seem sane in comparison.
However, given the safety of the highest rated tranches, the ECB's current purchases do not provide meaningful capital-requirement relief for banks.
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"Continuing current purchase trends would not lead to [radio] switchover in our lifetime," he said.
He added: "What is absolutely clear is that continuing current purchase trends will not lead to switchover in our lifetime; we need a step change in approach.
The Bank will begin open-ended asset purchases at the conclusion of its current purchase programme (that is, beginning in 2014), but in relatively trivial amounts.
"But others will welcome the fact that the total additional amount of purchases is larger than if the ECB had simply announced a six-month extension of its current purchase pace".
He said he told the Boies and Fareri team that its current purchase from the county lessens the variances granted when the building was originally built, and any addition would require new variances from the zoning board.
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