Update: Maxine Waters D-CA shows the dangers of political influence on the Fed; Market Mover Wednesday: Ben on the Hill

Update: Maxine Waters D-CA, perfectly demonstrated the dangers of the political pressure and influence on the Federal Reserve. Rep. Waters thought the .25 increase in the Discount rate was like the raising of the Fed Funds Rate and would move the yield curve and mortgage rates. Her reaction tells you what will happen when the Fed finally DOES tighten. Imagine what the Critters will do when the Fed tries to sell the MBS it bought@ Fuggedaboudit@ She has Gentle Ben promising not to tighten for an ‘extended period’. If I had any way to bet the Fed wouldnt move for far too long I would…Gawd save us from the inflation…

10:15 am EST: Ben just began his opening remarks to the Financial Services Cmte. The Fed is predicting UE to drop to 6% in…wait for it…2012….consumer prices expected to rise 1-2% from 2010-2012….they still do not believe we can have inflation with declining wages….

I think this cycle will prove them wrong, of course when I buy food and gas no one asks me for the ‘core’ rate, they ask me for more of my money

…in other news new home sales dropped 11% in January…

LiveStream here

February 24, 2010. Tags: , , , , , , , , . Economy, Finance, Foreclosures, Housing, Labor Department, Obama Administration, Politics, Unemployment Statistics, Wall St. Comments off.

Goooold! Gold hits ANOTHER record $1150.50….

Fed head Bullard made noises about not raising rates until..wait for it, 2012! huh? the US Dollar dxy drops under 75 in reaction and Goooold back on a tear, another record $1150.50 an oz..

you know what that means….it’s Bassey time!!!

Courtesy of  sveta14:

Queen’s Golden Jubilee.
3 june 2002,
Phil Collins on the drums

November 18, 2009. Tags: , , , , , , , , , , . Economy, Finance, Obama Administration, Politics, Wall St. Comments off.

Update: Issa says Fed in cover up, Bernanke to testify under subpoena..Market Mover: FOMC Decision and Statement…

Update 3: CNBC has the Issa story up here

Update 2: Dow as up 50 and now up 7 since FED announcement. I think the market is also scared shxt of what will happen as Congress goes after the Fed…that Issa announcement was simultaneous with the FED decision…

Update: Fed stands pat, rate unchanged, will maintain low rates for extended period (love you long time), removed the line about DE-flation, good finally! but NO EXIT STRATEGY. Bond rates up a bit as prices down a bit. Nothing in the stmt backed off quantitative easing at all, they reaffirmed it. If you are looking at it as a foreign holder of our debt, I see nothing here to reassure you, which to me suggests higher rates a comin’ from Bond Vigilantes…

Right before the announcement Darryl Issa R-CA came on CNBC backing a statement his office released saying Ben Bernanke and the FED had concealed concerns about the Merill BofA deal from OTHER REGULATORS, and Ben is appearing under subpoena to answer questions.

Not a good thing for market stability and as a shareholder I am biased on this. But if it is what I think it is, i think Bernanke and Paulson kept Sheila Bair and the FDIC in the dark on the potential losses for BofA if Merrill deal went thru..

if it helps FDIC get some of the power Team TOTUS is trying to give to the Fed (which will then promptly be given to Larry Summers in Jan) then I am all for it. the FDIC is the only regulator on the ball and Sheila Bair was warning about subprime exposure of broad market losses way ahead of everyone else…

anyway that is a WOW announcement that was buried in the FED release..Towns is trying to stop investigation into Countrywide VIP loans for Dodd and Conrad, but Issa is pushing as he can….

Best Market Lesson I ever Learned: DONT FIGHT THE FED*

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June 24, 2009. Tags: , , , , , , , , , , , , , , . Economy, Entertainment, Fantasy, Film, Finance, Housing, Music, Politics, Sci Fi, Wall St. Comments off.

Breaking Update 5: Lewis keeps CEO/President role, Massey elected Chairman as roles split by shareholders…Too many votes to count..Market Movers Wednesday: Bank of America Shareholder Meeting…FED meeting day 2…

Breaking Update 5:- 5:40pm EST: Bloomberg: BofA announces Walter Massey elected as Chairman to replace Lewis;they have split the CEO Chairman roles…Lewis re elected as President/CEO ,…..I think it will be much harder for Treasury to oust Lewis now, the shareholders have acted and kept him as CEO, this loss of Chair ironically may be the thing that saves his job in the end..it would look like the Big Brother trampling shareholders that it is if they try to oust him now…I think this is good for Lewis, and good for the company in that we keep Lewis in this maelstrom of government intervention, Lewis wont get pushed around by Treasury as easily again as he was rolled by Paulson and Bernanke….

Andy Stern of SEIU will be pixxed he didnt get Lewis’ head, heh

Update 4: Hugh McColl says he wants Lewis to stay as CEO and Chariman and Finger who is recommending split also told McColl to merge with AIG when Hugh was CEO…heh….

Breaking Update 3:  – 1:22pm EST- CNBC Mary Thompson reporting- “Person ‘close to’ BofA reporting all 18 BofA board members re elected by comfortable margin”…no further word on Lewis Chairman role yet…

Breaking Update 2- 1:07pm EST: BofA reports it cannot report complete results of shareholder votes today at now..because of the volume of votes. CNBC reporting coming into the meeting BofA was reporting the vote on the proposal to split the CEO Chairman roles was too close to call…they will announce results in Press Release..no word when…

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April 29, 2009. Tags: , , , , , , , , , , , , , , , , , . Economy, Entertainment, FDIC, Finance, Heavy Metal, Music, Politics, Popular Culture, TARP, Uncategorized, Wall St. 3 comments.

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