And that simply means Bernanke has to keep raising interest rates at every meeting...this year.
Any pause would be caused by a "crash" of some kind...in stocks, commodities, or consumption....
The FED simply can not be seen as throwing a sop for the complainers and speculators on Wall Street.
Maybe, if the complainers on Wall Street had something to complain about...Bernanke COULD respond...
But, simply complaining about the lack of Greenspan style "easy money" for the bubbles...is not a valid gripe.
ONLY SERIOUS PAIN ON WALL STREET WILL STOP THE CURRENT RATE HIKES...
BUT, AMAZINGLY, IF THAT PAIN IS IN THE BOND MARKET...RATES WILL HAVE TO GO UP EVEN FASTER!
So Wall Street is in a Catch 22....
The more they complain, under current conditions, the less likely it is that Bernanke will respond.
And when they stop complaining about Bernanke; it's probably because the markets have crashed...and the FED is stepping in to help with the clean up.
The Street was so spoiled by Greenspan that they simply can't go back to the old role of the FED as the "Speculation Cop" walking the investment beat on The Street.
