The hope seems to be that the FED will see the world through the Wall Street lens.
More easy money...and soaring asset prices forever.
Well, maybe Bernanke will try to be Greenspan-Lite.
BUT...
There will be a price to pay... Oil and Gold will soar... And the Dollar will plunge.
The notion that by putting Goldman's Paulson back in the drivers seat at Treasury...the Clinton prosperity will magically return is misguided...
This ain't 1992...when the Greenspan hyper-bubble was young and everyone knew the Internet would "change everything." Because "it always goes up."
In a sense the Internet Bubble did change everything... It put us right back in the 1970's Soup... High Debt and a Weaker Dollar.
When will Bernanke stop the fan dancing with Wall Street and just start telling the truth straightaway...?
We should learn a lot when the FED minutes come out in a few hours...
My hunch is that the minutes will be grimmer than the Street is expecting...
The inflation numbers have been bad and they are getting worse. To persist in the lie just to float the markets for another month or two simply is not good policy.
