Even if the fed holds until maturity, when those positions start maturing they automatically generate sell orders.Like you say,who will be there to buy them and at what price ?.Billions of dollars of treasuries will be a lot to be dumping into the market every month.
The fed should unwind their balance sheet but I believe they will be afraid to.They saw what happened to the stock and bond markets when there was a hint of taper.Ben doesn't want his legacy to be that he was the cause of a big stock and bond market selloff so he can't taper even if he wants to.That will be bullish for gold.
Exactly Fester, Ben will never ease off since the end result is yesterdays sell off. I see Cat, IBM and many more companies laying off and the sequester hasn't even hit yet. Inflation is present but I nor any other human can alter this lie since the powers use numbers of their own choosing.