You guys all have it wrong. Bernanke is waiting for Cramer to go on another "they know nothing" rampage. Only then will Ben realize he needs to cut rates by 50+ bps. Cramer, we need you!
Likely conversation going on now between Ben and Hank: Hank: Damn, look at that dollar rally against the euro today, its up .3%, we're safe here Ben, go turn on the spigots, we're too damn tight!!! Ben: You actually look at the euro/usd exchange rate? I am just looking at Goldman's estimates for Q4 and if I don't cut 50 bp, I think they are going to miss those numbers. With just a 25 bp cut, I think they'll miss 'em. If I don't cut at the next meeting, I am afraid we might have a 1930s scenario on our hands. Remember, inflation is only 2% right now, we can print till the cows come home!! Hank: You looking at the indices? My contacts at Goldman are asking for some help. Ben: I'm on the mofo. I've got T3 lines connected to all the major banks, they've got cash waiting for them anytime, I might just buy the dip here myself, I'm not gonna let those bears have a taste of any honey, let's go buy some GOOG here, I liked earnings and Goldman just put out a $800 target! Hank: Let's strap on the helmet, its time to get back to the turret and machine gun out some bills. Ben: Aye Aye sir!
Maybe we should go back in history and find out why such an essential institution is in the hands of private bankers. The ones who deviced that construction are the real culprit for the oncoming disaster. Hyper-capitalism just before final self-destruction? Ursa..
Correctamundo! (Fully cognizant of European history, our Founding Fathers were ADAMANTLY AGAINST our ever having a central bank.) Regardless of the conventional perception of the Fed's primary functions, its REAL purpose is to PROMOTE INFLATION. In an inflating economy, the Gummint can overspend and confiscate the buying power [aka wealth] of its citizens in such a way that few realize they're being "frogged". It's all about "government at the expense of the people". If you have any notion it's different, then you just don't understand.
Personally, i'm not angry at ben - how long has the guy been in the position? not long enough to influence anything... greenspan handed off this bag of poo at the 11th hour of the current mess imo.... Ben's a poo bag holder... and now greenspan has just plain lost his mind off spouting off what a mess the whole thing is...