Stage Set For Another Bernanke Adventure

Thursday, May 27, 2010
By Paul Martin

by Brady Willett
FinancialSense.com
May 27, 2010

Federal Reserve Chairman, Ben Bernanke, has been eerily quiet during the recent market storm. To be sure, seemingly oblivious to the happenings in EU-land Mr. Bernanke’s speech, The Economics of Happiness, was delivered shortly after major riots in Greece and shortly before the historic nearly $1 trillion plan was announced to try and prevent the destruction of the Euro. As for Bernanke’s speech a month earlier, the tone was that of victory:

“The lesson has been learned. In the current episode, in contrast to the 1930s, policymakers around the world worked assiduously to stabilize the financial system. As a result, although the economic consequences of the financial crisis have been painfully severe, the world was spared an even worse cataclysm that could have rivaled or surpassed the Great Depression.” Economic Policy: Lessons from History. April 8, 2010. Bernanke

Strong words from a Central Banker whose balance sheet is contaminated with more than $1.1 trillion in mortgage-backed securities and whose federal funds rate is trapped near 0%.

The Rest…HERE

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