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Boston Fed President Eric Rosengren (voter) said if the U.S. economy shows signs that it is accelerating, then quantitative easing may not be necessary. The market is pricing in a very high probability of QE2 but the comments from Rosengren suggest it is not a certainty. He did say that further quantitative easing could help unemployment. He sees a “low probability” that the U.S. will experience deflation.

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