Comments on: One Day at a Time

By: constantnormal

constantnormal — Tue, 16 Mar 2010 13:09:47 +0000

The Feral Reserve is committed to ZIRP, and will not move from that commitment until forced to by “circumstance” — “circumstance” likely being the crumbling of the USD, which ain’t gonna begin until there is an alternative major currency that appears more stable.

Wake me up when the euro’s troubles are behind them (if ever). We are a long, LONG way from going cold turkey on our ZIRP addiction.

By: Mr.E.

Mr.E. — Tue, 16 Mar 2010 12:59:22 +0000

At this point what can the Fed rationally say, from a monetary policy perspective, that should encourage markets?

By: globaleyes

globaleyes — Tue, 16 Mar 2010 12:45:16 +0000

Here’s my viewpoint:

Capital (money) is the world’s second largest shortage item (oil is the first).

Consequently, interest rates should be much higher to reflect this.

However, I do not make policy at The Federal Reserve.

By: call me ahab

call me ahab — Tue, 16 Mar 2010 12:28:48 +0000

the Fed-

the same folks who said there is no housing bubble and that subprime was contained-

and now everyone is pinning their hopes on their supposed knowledge, finesse and expertise to skillfully save the day-

and you would think people would know better by now. And yes, the Fed is unlikely to change its ZIRP wording-

but who cares really- it’s just short term nonsense