The Fed indicates a recession is not coming, which contradicts the earlier statement by Goldman-Sachs. Which knows better?
Yeah, keep listening to your Wall Street buddies. All these guys want to see is a rally—even for a few hours so they can make millions. Bernake is playing a fools game—he will induce both hyperinflation and a recession.
Fire up the printing presses, after flooding the market with dollars ... we will give them even more to offset our shaky economy.
Historically speaking, the Fed seems unconcerned with taking the same path as Germany and Argentina which led to the collapse of their economies. It may not happen for decades, but turning an economy the size of America away from the upcoming iceberg does not get easier when the captain is heading straight toward it at full speed.
Bankers and traders love free markets until their schemes backfire and then they can’t seem to get enough fiat money to bail themselves out, even if it is an artificial way to protect themselves against the natural consequences of their actions in a free market.
~~Harvard Economic Society, October 19, 1929
"I cannot help but raise a dissenting voice to statements that we are living in a fool's paradise, and that prosperity in this country must necessarily diminish and recede in the near future."
~~E. H. H. Simmons, President, New York Stock Exchange, January 12, 1928
"Stock prices have reached what looks like a permanently high plateau. I do not feel there will be soon if ever a 50 or 60 point break from present levels, such as (bears) have predicted. I expect to see the stock market a good deal higher within a few months."
~~Irving Fisher PhD, leading U.S. economist , New York Times, October 17, 1929
"This is the time to buy stocks. This is the time to recall the words of the late J. P. Morgan... that any man who is bearish on America will go broke. Within a few days there is likely to be a bear panic rather than a bull panic. Many of the low prices as a result of this hysterical selling are not likely to be reached again in many years."
~~R. W. McNeel, market analyst, as quoted in the New York Herald Tribune, October 30, 1929
“Several brokerage houses tumbled; blue-sky investment companies formed during the happy bull market days went to smash, disclosing miserable tales of rascality; over a thousand banks caved in during 1930, as a result of marking down both of real estate and of securities; and in December occurred the largest bank failure in American financial history, the fall of the ill-named Bank of the United States in New York.”
~~"Only Yesterday: An Informal History of the 1920’s" by Fredrick Lewis Allen
"There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved."
~~Ludwig von Mises
"All safe deposit boxes in banks or financial institutions have been sealed...and may only be opened in the presence of an agent of the I.R.S."
~~President F.D. Roosevelt, 1933
The patient (that’s us) is feeling pain, we need more morphine (easy money).