[haffast]

"In light of the moderate pace of the recovery and the continued high level of economic slack, dialing back accommodation with the goal of deterring excessive risk-taking in some areas poses its own risks to growth, price stability, and, ultimately, financial stability," Bernanke said in remarks prepared for delivery at a conference sponsored by the Federal Reserve Bank of San Francisco.

99 cent bacon-egg-cheese biscuit now on special for $1.50, gas $3.76+ gal. in my area.

Benny sez: No pullback in the den of thieves, pooch not completely screwed yet.

Didn't have to pull off my shoes to figure that out.

[Daveinyork]

What recovery?

[Steely Tom]

Let me put a penny under the fuse so the lights will stay on.

[Tublecane]

Cheap money does not a recovery make. You think they’d notice, what with the lack of recovery amidst myriad quantitative easings. However, much like Marxists they can always push the inevitable hoped for result off into the unknown future.

[Diana in Wisconsin]

This guy is either a total, cluelss putz, or he’s complicit in the destruction of our economy.

I’ll say it’s 50/50.

Had my first $50 fill up for my truck last week. That’s $100 a month that will NOT be going back into the economy in my little Cow Town. Not that I can afford what groceries cost these days, either...

[ex-snook]

So how are we to pay for a dozen years of continuing wars, foreign aid and nation building, paying for unemployment from unbalanced trade, health costs from an aging population, low birth rate and countless tax loopholes.

[entropy12]

A premature pullback by the Fed will prevent birth of unwanted twins named “Bankruptcy & Hyper-Inflation”.

[palmer]

The increase is long overdue, but there's one remaining reason for Bernanke's low rate nonsense at this point in the cycle, which is to feed money to the politicians who pull his strings. He literally creates money out of thin air and sends it to the politicians. In return they give him T-Bills which he pretends have value. But nobody is going to buy those T-Bills from Uncle Ben, he will stick them in an electronic shoebox and forget about them.

As for the recovery, as long as Bernanke keeps creating money, nobody is going to invest in any kind of sustainable venture. We are all speculators even people who "hold" stocks (most companies are speculators). All funds are speculators. When the crack-up boom comes, the economy will appear to grow but mostly the Wall St and other large corporate bonuses will grow. The plebes will get nothing. Then we'll have another bust and another round of QE or worse. Each successive boom and bust will hollow out the economy and the middle class.

[Sir Napsalot]

Did I sense the rising panic in “dear” Bernanke, as they (Bernie and Baraq) increase their hysteria?

“What happens after the gig is up?”

[MarkL]

All the talk about “the recovery” mostly seems to revolve around the stock market.

The simple fact is that when the US “prints money,” they’re not really “printing” anything, just increasing the values of some cells on spreadsheets. That newly printed “money” needs to go somewhere, since there’s nothing to put into a coffee can and bury in your back yard. So it goes into the stock market.

Since more and more newly printed money is coming into existence, this artificially increases the demand for stocks.

But once the US stops “printing money,” that artificial demand will dry up, and the stock market is going to crash as institutions try to dump the stocks they bought for reasons OTHER than what would normally be considered the “correct” reason to buy a stock.

Mark

[Mad Dawgg]

"Premature Fed pullback could "short-circuit" recovery: Bernanke"

Point of order, doesn't something have to first exist in order for it to be "short-circuited"?

just sayin...

[SoFloFreeper]

I’ve got news for Ben the Money Mimeographer: there isn’t any recovery. None.

[TurboZamboni]

Bernanke: There’s No Housing Bubble to Go Bust
Nell Henderson-Washington Post Staff Writer
Thursday, October 27, 2005
http://www.washingtonpost.com/wp-dyn/content/article/2005/10/26/AR2005102602255.html

what? me worry?