I torn on this issue, seriously. Since AG engineered this clusterf*ck he has alot of nerve undercutting his predecessor like that. On the other hand, I am glad to see someone speaking some semblance of truth.
Interesting. What if instead, Greenspan had touted the good health of the economy, noting interest rates and inflation have stablized? Subsequently, the market explodes upward. Would we still be having this discussion?
The discussion would still be relevant (especially to the short sellers). I simultaneously play both sides of the market with iron condor derivatives. I can anticipate the implications of scheduled macro economic reports but am vulnerable to the mass hysteria (or mass euphoria) effects of such self proclaimed oracles as Mr. G. Now to be able to participate in this market I feel I need to get this man's speaking schedule so I can be ready if he pulls another irresponsible boner. The good news is that the more he talks the less relevant he becomes. But it is just bad form to be DIRECTLY contradicting what official FED policy and projections are at a time when this country is desperately trying to soft land from his total economic disaster that happened on his watch. In that sense Greenspan is PURPOSELY attempting to undermine Bernanke to preserve his own legacy (which was a joke) and make himself look better than his replacement. Greenspan should be put in prison as a traitor to his country since this is worse damage than most any terrorist could do to our economy. TS
Should Greenspan just STFU? Well, A. G. can do whatever with his retirement, but if I was 81yrs old as AG is, I'd be relaxing on a Hawaiian beach with powerful binoculars. Ain't nothin' the authorities would do 'cause I'd be senile......also.
That's the essence of the problem with Greenspan. He was impotent as a FED chairman and is impotent in his old age. Now he feels relevant and virile in being able to screw the only remaining thing he can - the nation's economy and the new FED Charmian's reputation. For what this asshole cost me this month in losses I'd personally buy the jackass a 10 year supply of Viagra and 6 month's of professional prostitutes to keep him whipped and out of the way. At least in this there would be the high chance he would die from a heart attack and rid the world of his dangerous and deconstructive rhetoric. The world has no need of more Chicken Little's. If he felt the urge to be a doom and gloomer he should have shot his mouth off on his own watch when he stepped up to the plate so we all could have been shorting the spoiler. TS
It's funny how a single story story can be interpreted in so many different ways. Bloomberg Headline: "Greenspan Expects Subprime Mortgage Fallout to Spread" http://www.bloomberg.com/apps/news?pid=20601087&sid=av6xMzI9fhjI&refer=home Associated Press Headline: "Greenspan: Subprime Spillover Unlikely" http://biz.yahoo.com/ap/070315/greenspan.html?.v=2 There's an interpretation for every agenda, I suppose.
No its just Greenspan speaking out of both sides of his mouth to different groups of investors at different times of the day. At his brunch meeting he puts as much negative spin as he can to his bear audience that is paying him to reassure them that their shorts are a good investment. Then at dinner time, he tells his bull audience who are paying even more that this is a great time to short squeeze the bears. Then the BBC or other news organization pays him an exclusive speaker fee to explain the apparent contradiction. Then he waxes neutral and says that people misunderstood what he originally stated and offers to sell his Rosetta stone to decode his cryptic FED speak babble. The man needs to be put away on an island somewhere or people need to wisen up and learn that he he is as clueless as everyone else is about the economy and let the chips fall where they will. TS