Do you people ever think? |
Posted on 01/24/2010 8:13:38 PM PST by John S Mosby
The reaction from Wall Street and The White House should not have surprising when it comes to Bernanke's nomination. We heard people like Robert Gibbs say: Asked about the potential financial repercussions of the U.S. Senate voting against Bernanke, Gibbs said, "The best way to not have to deal with those repercussions is to support Ben Bernanke for a second term."
Gibbs said senators could support stability in the financial system by backing Bernanke's renomination. This is a blatant and outrageous lie. ....snip....
(Excerpt) Read more at market-ticker.denninger.net ...
Do you people ever think? |
The author is delusional or worse. Consider the following:
1. SOCIALIST Bernie Sanders put a hold on Bernanke’s reconfirmation, creating the need for a supermajority.
2. Bush appointed Bernanke and he did avert a potential collapse of the financial system. Wall Street very much wants to see him reappointed.
3. If you don’t like Bernanke, just wait until you see whom Obama will appoint instead.
CONFIRM Bernanke!
Agreed, and you were much too kind on the author.
Not saying I agree with him, but Karl argues his case as he tracks the capital markets. The draining of the excess liquidity by the Fed just prior to TARP loans being forced on banks who did not want them, is disturbing to those who believe the financial crisis is/was being exacerbated,if not manufactured. Being fanatical about deflation as a root cause of the Great Depression, Bernanke does think the government, in a fiat money system, owns the physical means of creating money. Control of the means of production for money implies that the government can always avoid deflation by simply issuing more money. He has said “The U.S. government has a technology, called a printing press (or today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at no cost.” He referred to a statement made by Milton Friedman about using a “helicopter drop” of money into the economy to fight deflation. The “bad” home loans and protective hedging of those losses is something liberals will not own up to. Obama trashes the banks for a populist bent and then supports Bernanke? What about that? I blame Golden Slacks and Geithner. What do you think Bernanke has gotten right?
Yup, Bernie Sanders as well as Jim DeMint, David Vitter (no more hookers)and Jim Bunning-KY (R) who is not running for re-election all have a hold on Bernanke appointment. Pretty strange assortment.
“Bernanke is incompetent and a threat to our monetary system.”
I agree but be careful what you wish for.
Agree.Lose on healthcare, go to page 3 of Alinsky and attack financial institutions with a “greed” tax to start obambi’s populist tilt and undermine our financial system further.
I don’t think that, but I was repeating that Karl does. I do fear whatever socialist central banker Obama would come up with instead, and I’d like to hear DeMint’s concerns. Gibbs made a threat about stability, and the threat added to the obama attack on banks by proposing taxation. This is targeted chaos a la Saul Alinsky.
Most of the “facts” the author cites are bogus claims. It just isn’t worth my while to go around correcting them, since the entire article is based on these bogus “facts”.
It was Carter’s appointment of Paul Volker that allowed Reagan to finally break stagflation.
And the Obamanation is another Carter, but on steroids.
I’m not a big Bernanke fan myself. But I’d rather do another round of Bernanke than to live under Fed Chairman Christina Romer.
I’m not a big Bernanke fan myself. But I’d rather do another round of Bernanke than to live under Fed Chairman Christina Romer.
If Bernake isn't confirmed, and Odumbo gets to pick a fellow traveler for the post, expect a massive sell off in the markets. And when that happens, will you be here telling us it's all good? Denninger is a fool. Denninger, and those who agree with him, present the real threat to our monetary system.
| Karl argues his case as he tracks the capital markets
|
I just posted Denninger, for discussion- his tracking of this is interesting. I’d like to know what is not factual about what he says happened. Is Denninger a commie? What does he purport that is a real threat to our monetary system? That is, more so than another meltdown because of “propped up” systems getting fiat money from the “government” (that is to say, the people of the US who are greatly unemployed). Before the 1913 establishment of the Federal Reserve, the banking system had dealt with periodic crises in the U.S. (such as in the Panic of 1907) by suspending the convertibility of deposits into currency.In 1907 JP Morgan intervened with a coalition of bankers. The bankers demanded in 1910-1913 a Federal Reserve to reduce this structural weakness. JP Morgan became the bankers banker. Milton Friedman had a hypothesis that if a policy similar to 1907 had been followed during the banking panic at the end of 1930, perhaps this would have stopped the vicious circle of the forced liquidation of assets at depressed prices. That is Bernanke’s view, also. The damned Keynesians and their pals, as you say, fellow travellers are trying to tinker with markets to “stabilize” them with machine politics and stimulus money for non existent jobs that goes nowhere. This is very similar to the government tinkering of FDR (like the make work WPA) which perpetuated the Depression right into WWII, when we were finally just coming out of it. These are times that try men’s souls. Has anyone commented on the Treasury’s proposed “regulation” to require people in their IRAs and 401Ks buy US Treasuries, since they can’t get the Chinese to do so? For me, I am sick of paper mache and lying elitist statists, and I don’t think any of this is “all good”.
Good point. I’d just like to get rid of all of the obamists, clean up this nest of vipers and get on with productivity and prosperity. We have to be vigilant, and play hardball. Thanks for your point. Not fun times, is it?
Denninger is a doomer who has had it in for Bernake since forever. Denninger is another loudmouth calling for an audit of the Fed but he can never manage to articulate what it is exactly this audit is going to show that current audits do not. He, like Ron Paul, wants to abolish the Fed and give money supply control back to the likes of Barney Frank, Charlie Rangel, Chris Dodd and Chuck Schumer. No thanks.
I skimmed his list of grievances and I'd agree that the Fed kept rates too low for too long. But if you're looking for the cause of the bubble and the subsequent crash, you need look no further than the stupidity of government policy in an effort to create social justice. He claims the Fed is monetizing the debt. That's absurd. They are doing no such thing. If he's that far out in left field about something as basic as monetizing the debt, I don't need to waste my time with more of his screed to know he's got an agenda and that agenda has little to do with the truth.
Is Denninger a commie?
Oh, please. He's an idiot when it comes to the Fed and, iirc, a goldbug and that's enough.
What does he purport that is a real threat to our monetary system?
I can think of some real threats: Barney Frank using the money supply to engineer social justice. How about Paul Krugman as the Fed Chairman, or some other moonbat in the vein of Eric Holder?
You act like there were no booms and busts before the Fed was established. We had huge swings of inflation and deflation from year to year. The rest of your criticisms should be directed to Obama and his fellow Marxists. Denninger wants the likes of Barney Frank and Chuck Schumer tinkering with the markets by exercising more control over the Fed, or by eliminating it altogether. That doesn't make much sense to me. Bernake did exactly what he needed to do to avoid a run on the banks and total financial collapse. Why Denninger wants to get rid of him and potentially replace him with a Marxist, or a system that allows politicians to meddle more in the Fed's operations, is a mystery coming from a guy who fashions himself to be a conservative.
The Fed "purchased" billions of Treasurys last year. IIRC, in 2Q the Fed purchased 53% of the Treasury's debt issuances -- more than foreigners, primary dealers, and U.S. households combined.
I believe monetization is when the central bank "buys" treasury debt.
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Bernanke must be defeated! What the country needs is a Communist appointed by Barack Obama.