Bloomberg: "Gold Falls in ’Manic’ Plunge as Bernanke Damps Stimulus Bets"
By Debarati Roy - Feb 29, 2012 4:33 PM ET
But Federal Reserve Chairman Ben S. Bernanke said that keeping monetary stimulus is warranted even as the unemployment rate falls and rising oil prices may cause inflation to rise temporarily.
NOW HERE'S MY QUESTION:
What more can the Fed possibly do?
Banks here and in Europe can borrow infinite amounts of money at ZERO PERCENT INTEREST. This is money that the Central Banks just print right up. And rates will remain at zero indefinitely. Meanwhile, the Fed can still take any bad loan off any bank balance sheet at any time, at its sole discretion. And nobody can audit them.
So what new stimulus is the Fed refraining from committing to? Riddle me that, Batman.
Is Bernanke pledging not to fill a swimming pool with billion dollar bills and then dive in naked and swim around in it with all his banker buddies?
Gee, how abstemious. Sell all your gold right now!