If you have no idea what the above quote means, you are not alone.
Here is the origin of the abbreviation "QE" Financial reporters decided a few years ago to accept a new term for what is largely an old concept.
That term is quantitative easing.
Consequently, "QE1" is a reference to the Fed's expansionary monetary policy during the latest serious recession, in 2008 and 2009.
QE2 refers to the Fed's started that in September,2012, with the economy still moving
Monetary Policy - The way it used to be
Historically, the fed's main tool for monetary policy has been the purchase and sale of U.S government securities, usually Treasury Bills.