Robster

Short Covering Helps Boost Stocks

courtesy of blogger on marketwatch:
Why, the Fed comes to the rescue with a few more billions in "auctions," accepting worthless paper as collateral. No margin calls and no payback ever required. When that fails, the Fed just buys the paper. (Just think how nice it will be when the Fed owns 90% of the homes in this country, and how appreciative those who have defaulted on their mortgages will be living in their homes without making anymore payments....think the Fed is going after them?)

And who loses? We do. Milk at $10 a gallon. Bread at $7 a loaf. A worthless dollar here at home and a hungry government waiting to tax us to death.

But, all is well. The Dow is back to $12,000!

Fed is trying to run the economy, bail out the banks and write cheques left right and centre. Aren't they only supposed to be concerned/mandated on monetary policy to promote growth and price stability?