We have followed the Fed for 25 years. We’ve done our part to rectify past grievances - Greenspan’s habit of leaking FOMC decisions to WSJ reporters was one of these.
Yet during all these years never did the Fed resort to planning.
Now, driven by desperation the Bernanke Fed has birthed the beginning of the end of Fed credibility.
Knowing that cheerleading is all that is left to them, they resort to publicized gimmickry.
This offers to some a chance to make money. It offers nothing to the economy. And we know from discussions with staffers that Bernanke fears just that.
We are not alone in understanding this reality. Congressional leaders wrote Bernanke to refrain from further intervention at this week’s meeting!
The EU are soundly criticized, by us too, for making half-decisions, freighted with timidity. But the Fed is no less guilty; it cannot seem to be able to make a stand by the simple act of standing down.
Until that body abandons the dual mandate and next comes to understand that no individuals, no matter how gifted can decide for example if owning the 5, 10 or 30yr is best for the interests of the US, until then, we have a crisis at the Fed.
Robert Craven
Yet during all these years never did the Fed resort to planning.
Now, driven by desperation the Bernanke Fed has birthed the beginning of the end of Fed credibility.
Knowing that cheerleading is all that is left to them, they resort to publicized gimmickry.
This offers to some a chance to make money. It offers nothing to the economy. And we know from discussions with staffers that Bernanke fears just that.
We are not alone in understanding this reality. Congressional leaders wrote Bernanke to refrain from further intervention at this week’s meeting!
The EU are soundly criticized, by us too, for making half-decisions, freighted with timidity. But the Fed is no less guilty; it cannot seem to be able to make a stand by the simple act of standing down.
Until that body abandons the dual mandate and next comes to understand that no individuals, no matter how gifted can decide for example if owning the 5, 10 or 30yr is best for the interests of the US, until then, we have a crisis at the Fed.
Robert Craven
No comments:
Post a Comment