Fed to Print Nearly Every Trading Day for Next Month

Bernanke attempts to show he's not Krugman's bitch by changing things up ever so slightly. The Fed's new QE schedule is up and the gross amount is within expectations: $105 billion composed of $75 billion from QE2 and $30 billion from QE Lite. Contrary to historical operations, there will be more frequent auctions (nearly every day) at lower amounts.

Starting this Friday, November 12, Brian Sack will crank the presses for 8 straight business days into the 23rd, then let the presses cool down for the Turkey Day break. But come Monday, it's 9 back to back printing days into December 9 (including a second afternoon auction on the 29th).

As we stated over a month ago, the Fed is institutionalizing its mad money printing scheme. This is no longer about stop gaps--Fed printing is here to stay.

Full schedule:

Tentative Outright Treasury Operation Schedule

Across all operations in the schedule listed below, the Desk plans to purchase approximately $105 billion. This represents $75 billion in purchases of the announced $600 billion purchase program and $30 billion of principal payments from agency debt and agency MBS expected to be received between mid-November and mid-December.

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	OPERATION DATE1	SETTLEMENT DATE	OPERATION TYPE2	MATURITY RANGE	EXPECTED PURCHASE SIZE
	November 12, 2010	November 15, 2010	Outright Treasury Coupon Purchase	11/15/2014 – 4/30/2016	$6 - $8 billion
	November 15, 2010	November 16, 2010	Outright Treasury Coupon Purchase	5/31/2016 – 11/15/2017	$7 - $9 billion
	November 16, 2010	November 17, 2010	Outright Treasury Coupon Purchase	5/31/2012 – 5/15/2013	$4 - $6 billion
	November 17, 2010	November 18, 2010	Outright Treasury Coupon Purchase	2/15/2018 – 11/15/2020	$7 - $9 billion
	November 18, 2010	November 19, 2010	Outright Treasury Coupon Purchase	5/31/2013 – 11/15/2014	$6 - $8 billion
	November 19, 2010	November 22, 2010	Outright Treasury Coupon Purchase	8/15/2028 – 11/15/2040	$1.5 - $2.5 billion
	November 22, 2010	November 23, 2010	Outright Treasury Coupon Purchase	2/15/2018 – 11/15/2020	$7 - $9 billion
	November 23, 2010	November 24, 2010	Outright TIPS Purchase	7/15/2012 – 2/15/2040	$1 - $2 billion
	November 29, 2010	November 30, 2010	Outright Treasury Coupon Purchase	2/15/2021 – 11/15/2027	$1.5- $2.5 billion
	November 29, 20103	November 30, 2010	Outright Treasury Coupon Purchase	5/31/2013 – 11/15/2014	$6 - $8 billion
	November 30, 2010	December 1, 2010	Outright Treasury Coupon Purchase	12/31/2014 – 5/31/2016	$6 - $8 billion
	December 1, 2010	December 2, 2010	Outright Treasury Coupon Purchase	6/30/2016 – 11/30/2017	$7 - $9 billion
	December 2, 2010	December 3, 2010	Outright Treasury Coupon Purchase	2/15/2018 – 11/15/2020	$7 - $9 billion
	December 3, 2010	December 6, 2010	Outright Treasury Coupon Purchase	6/15/2013 – 11/30/2014	$6 - $8 billion
	December 6, 2010	December 7, 2010	Outright Treasury Coupon Purchase	8/15/2028 – 11/15/2040	$1.5 - $2.5 billion
	December 7, 2010	December 8, 2010	Outright Treasury Coupon Purchase	12/31/2014 – 5/31/2016	$6 - $8 billion
	December 8, 2010	December 9, 2010	Outright TIPS Purchase	7/15/2012 – 2/15/2040	$1 - $2 billion
	December 9, 2010	December 10, 2010	Outright Treasury Coupon Purchase	6/30/2016 – 11/30/2017	$7 - $9 billion

The next release of the approximate purchase amount and tentative outright Treasury operation schedule will be at 2 p.m. on December 10, 2010. This release will also include information on prices paid for securities included in the operations listed above.

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¹Operations are tentatively scheduled to begin around 10:15 AM and close at 11:00 AM unless noted otherwise.
²Nominal coupon operations are specified as “Outright Treasury Coupon Purchase” and TIPS operations are specified as “Outright TIPS Purchase”.
³This operation is tentatively scheduled to begin around 1:15 PM and close at 2:00 PM.