Once again the Federal Reserve has caused an unhealthy move in the stock market by bailing out the credit markets!
http://www.marketwatch.com/news/story/adrs...7D&siteid=yhoofThe DJIA has risen 415 points in a rally caused by influxing more cash into the system.
"The Fed said it will lend up to $200 billion of Treasury securities to primary dealers secured for a term of 28 days, rather than overnight, as in the existing program. The Federal Open Market Committee also has authorized increases in its temporary reciprocal currency arrangements with the European Central Bank and the Swiss National Bank."Sounds pretty GOOD doesn't it? But this is bound to eventually drive the US Dollar lower! While oil prices move higher! What the hell is Bernanke doing? Infusing $200 BILLION into the system to bail out those who spent too much and put themselves in precarious positions may sound like an answer, but THAT much money printed up and put out is bound to HURT the financial system of THIS nation in the 'long run'...
papa called the Fed rate cuts epinephrine. I call THIS using a difibrillator shock on a weak heart that is still beating. The result is sure to be a financial 'stroke'.
What goes up so fast is sure to land with a thud, because of the US deficit. Be aware if you are investing that this kind of stimulation to financial markets using the future's of our children to pay China with a credit card is sure to lead to NO good end! :o