When Will The Market Face Reality?
Flecks latest begs the question and in a very nattering way: bugger's the Fed's dubious credibility:
Of course, when you look not at inflation but the "spun" version of inflation that's championed by the Fed, you can always find a reason to avoid raising rates.
It continues to boggle my mind how anyone can think the Fed is serious about fighting inflation.
The central bank is trapped -- unwilling to raise rates even as inflation ratchets higher-- because it (rightly) fears what higher rates would do to a weak economy.
Likewise, I find it stunning that anyone would take any prognostication by Alan Greenspan or Ben Bernanke, on any subject, as worthy of consideration,
given that the past and present Fed chiefs, respectively, apparently understand nothing about what has been the engine of the economy for more than a decade -- that is, speculation.
Of course, when you look not at inflation but the "spun" version of inflation that's championed by the Fed, you can always find a reason to avoid raising rates.
It continues to boggle my mind how anyone can think the Fed is serious about fighting inflation.
The central bank is trapped -- unwilling to raise rates even as inflation ratchets higher-- because it (rightly) fears what higher rates would do to a weak economy.
Likewise, I find it stunning that anyone would take any prognostication by Alan Greenspan or Ben Bernanke, on any subject, as worthy of consideration,
given that the past and present Fed chiefs, respectively, apparently understand nothing about what has been the engine of the economy for more than a decade -- that is, speculation.
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