Jan Hatzius of $GS fame sees QE 3 coming during the first half of 2012.
That's what this blog has been saying would happen for quite some time. Expect some pain and plenty of volatility, and up days too, like today before the real QE3 curtain is opened. It will be Maloox country with out a doubt on Wall Street.
Ok, so what does this mean from an investing perspective? It will empower traders once again to bid up shares of stocks. So I would not be surprised to see a fairly large rally for Spring 2012 provided that the world is not turned completely upside down before that point.
Natually, this will help the metals, GOLD in particular. There will be many fools who will not listen and act again. The time is now to be accumulating gold. QE3 is the fuel that is needed to blast the FED into an orbit of unlimited printing. This can only help gold. $2000 gold looks like a stretch for 2011, but it sure looks like a sure bet for 2012 if Jan is right, and again, there hasn't been systemic failure.