QE3 May Actually be Harming the Economy: Citi

The Federal Reserve’s third round of quantitative easing is still young, but that hasn’t stopped the major investment firms from analyzing it. The consensus so far is that the program isn’t working as well as might have been expected. Some analysts actually believe the program is the reason for the economy’s poor recovery. A Morgan Stanley (NYSE:MS) report, entitled QE3-More Is Required, enumerates the most prominent aspects of the latest Federal Reserve program. The report warns that the effects of the program may not be as powerful as some investors assume, but are statistically significant. According to the investment bank’s…