...and most traders are wrong the majority of the time. If I had a billion dollar hedge-fund and decided that becuase it's Friday, and cloudy, and Mars is moving into Aquarius, and my dog shit on the rug this morning, I might feel like going long Wheat or Oil. Point is there is no point: market movement doesn't mean shit other than someone with money went a certain direction. The reason is irrelevant. Put a few handfuls of these traders together, going the same direction, and you have market movement. It doesn't make them right about shit.
Well, the results are what matter. Doesn't really matter what Bernanke says or doesn't say. So if prices of everyday things are rising (including food and energy, since these are the most important), then there IS inflation, regardless of what any yammering mouth says. Like the old saying goes "You gonna believe Me, or you gonna believe your own eyes?" Bernanke had to lie about the subprime being "contained" I think, because he voted for all the policies that brought about the bubble, including lack of oversight in the Fed on the mortgage market. So now if food and gas shoot through the roof in prices, it is Bernanke on the hook as being responsible for it - not anybody else despite any spin. He knows it, and that is probably why his lip was quivering in the interview. Not the sign of a confident man.