Bernanke's Becoming a Nightmare

No, no, no, no. Bernanke was a huge disappointment today. CFC news was a red herring.

I am utterly disgusted by Bernanke's academic perception of the economy and what we are facing. This is not a Ph.D thesis, this is millions of Americans facing an unprecedented challenge to balance their own budgets in the face of weak wage growth, rising unemployment, and heavy debt loads. Bernanke needs to toss the rhetoric and cut rates now, not later. Inflation which is weak dollar driven, global in scope, and transitory can not be challenged by the Fed. Deal with that fact.

This rally was a classic short covering rally. In markets like this do not chase strength. I think as participants mull over his statements we will likely again trade lower until there is at least a vote of confidence in the Fed. Until then, be patient.

Comments

[ballsschweaty]

It's not Bernanke's job to bail out the idiots who bought houses they couldn't afford using loans they chose not to understand.

Our economy needs to adjust to an equilibrium that allows sustainable and balanced growth.

Borrow on the house and go on spending sprees while we gut our manufacturing base is a road to disaster.

[huangthomas]

Typical crying baby syndrome. Anyone has a cure for that?

[nonsumdignus]

Cutting rates will only hurt Joe Six, who will spend even less on discretionary as his dollar loses whatever buying power is left. We've been here before, we've heard this song. Low interest rates is what got us here in the first place, and it's what ails us today.

Time to pony up and take the losses and allow the what a capitalist "free market" economy do what it's supposed to do: contract with the market forces and weed out the excess.