Oh Dear Ben
The Market Ticker ® - Commentary on The Capital Markets
Posted 2009-03-10 19:04
by Karl Denninger
in Federal Reserve
Ignore this thread
Oh Dear Ben
 

Or will that be "deer", as in "deer in the headlights", a year or so from now?

Here's what Ben said today:

In a speech to the Council on Foreign Relations, a Washington think-tank, Mr Bernanke gave the most upbeat assessment yet of the global economic meltdown, saying that the gloom could be nearing a close.

"I think there is a good chance the recession will end later this year and 2010 will be a period of growth," he said.

Uh huh.

Go read my letter of July 22nd, 2008 again, which I faxed to the entirety of Congress.  Here's a couple of doozies:

Chairman Bernanke before the Congressional Joint Economic Committee on March 28th 2007: "Although the turmoil in the subprime mortgage market has created severe financial problems for many individuals and families, the implications of these developments for the housing market as a whole are less clear. The ongoing tightening of lending standards, although an appropriate market response, will reduce somewhat the effective demand for housing, and foreclosed properties will add to the inventories of unsold homes. At this juncture, however, the impact on the broader economy and financial markets of the problems in the subprime market seems likely to be contained. In particular, mortgages to prime borrowers and fixed-rate mortgages to all classes of borrowers continue to perform well, with low rates of delinquency."

Chairman Bernanke to Committee on Banking, Housing, and Urban Affairs, U.S. Senate, April 3rd, 2008: "Clearly, the U.S. economy is going through a very difficult period. But among the great strengths of our economy is its ability to adapt and to respond to diverse challenges. Much necessary economic and financial adjustment has already taken place, and monetary and fiscal policies are in train that should support a return to growth in the second half of this year and next year."

That's a stunning (that is, stunningly BAD!) record you got there Mr. Ben.

Anyone want odds on this prognostication being correct?

Go look at the banner on top of my blog.  When my view of where the actual long-term bottom for the market changes, based on the actions (or inactions) of our government, so will the banner.

 

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User Info Oh Dear Ben in forum [Market-Ticker]
Randy123
Posts: 5859
Incept: 2008-09-24
Green
Earth
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I am stunned by the level of bullishness on CNBC. I think I heard generational buy 4 times and a doubling of the S&P in a year and a half. I cannot believe how many people want to extrapolate a one day rally to solving our problems. I am almost to the point where I am hoping for you S&P 200 call to shut these people the **** up.

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China is the Enemy. Wake Up.

New Normal. Same As The Old Awful.
Eleua
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N 47.72/ W 122.55
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inline

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http://clearcutbainbridge.blogspot.com/
"My object in life is to dethrone God and destroy capitalism." - Karl Marx
"Destroy the family, you destroy the country." - Lenin
"Education is a weapon whose effects depend on who holds it in his hands and at whom it is aimed." - Stalin
Resistance
Posts: 6162
Incept: 2008-09-26
Green

Banned
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Here's the positive... If he makes the same call every year, he'll get it right at some point. If we recover... Damn, couldn't go positive for an entire post. I need to work on this "bottom is in" thing...

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"Why must political experiments always be in the direction of more government? Why not give the free market a county or even a state or two, and see what it can accomplish?"Murray Rothbard - The Fallacy of the Public Sector
Themortgagedude
Posts: 8894
Incept: 2007-12-17
Green
saint louis
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Randy - Run it up so we can reload. Hate to say it but I've actually gotten long for this bounce. Probably start taking some $$$ off the table tomorrow.

Back to the subject at hand. There is only one answer..he needs to resign.

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I'm already visualizing you with duct tape over your mouth.
Reza30
Posts: 289
Incept: 2009-02-15

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Karl,

I think you know better than anyone that this nation is (or has lost) its ability to generate wealth through industiral production--the true multiplier.

All that is left is pumping the markets and devaluing our currency to help create asset inflation, and Bernanke knows this too.

Our economic system reminds me of the Wildebeests crossing the Mara River in Africa. Wall Street hypers push the people into the river, and they follow one-by-one like a herd. The crooks (crocodiles) slaughter them one by one and have their feast.

Amazingly, most investors are as memory-challenged as the Wildebeests, and jump into the river again tomorrow hoping for a safer crossing, thinking their are smarter than the next Wildebeest following them into the river.


Blackswan
Posts: 5589
Incept: 2007-11-06
Gold
Just outside of Philly
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No surprises here - Bernanke or CNBC.

I am glad we are rallying for several reasons even if it is on unicorn skittle fuel.

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“It’s checkmate. Everywhere it’s checkmate.”
Hugh Hendry
Markytom
Posts: 272
Incept: 2009-02-19
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Looks like the market is behaving just like the Great Depression, where the market stair-stepped its way down, down, down. That's how the system works. Anyone jumping onto this bear market rally thinking we are headed back to 2007 numbers is delusional, naive, or named Ben.

http://dshort.com/charts/bears/four-bear....

Dakine2004
Posts: 9263
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MD.MI.NC.SD.
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Speaking of "prognostication" , it is March - about a year's time since your little dust-up with Mr. Bove....?
Arkroyal
Posts: 115
Incept: 2009-02-04
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St. Augustine, FL
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KD, you have been mentioned over at automatic earth:

http://theautomaticearth.blogspot.com/
Themortgagedude
Posts: 8894
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saint louis
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yeah, bout time to stick that boot in his ass too.

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I'm already visualizing you with duct tape over your mouth.
Tritumi
Posts: 166
Incept: 2008-11-29

tokyo
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forgive me for mentioning it again, but the reference to CNBC triggers the reflex. i am still trying to determine the circulation and credibility of The Columbia School of Journalism's skunkworks investigation that resulted in Deep Capture, the full frontal expose' of the naked shorts complete with players, moves, and, especially and always, felons.

if this material is public, (and award winning!) and the charges it makes for crimes are true on the scale at which this is operating, then gov't is obviously a partner in the crimes, corrupted at the most elemental levels.

ben is then simply the fluffer on the porn set.

http://www.deepcapture.com/
Deejunk
Posts: 715
Incept: 2008-10-11

Now DC - Solar Power.
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KD - post about you at theautomaticearth.blogspot.com = bold-faced lie!

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http://www.myvideo.de/watch/2451556/The_.... - I'm seriously ready for inflation, deflation & TOTAL collapse of the US & Global economic & market systems..
Genesis
Posts: 131439
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Don't worry, this morning ticker will take care of that one.

I got his head teed up, and Big Bertha is on the backswing.

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I don't care if it makes sense -- only if it makes money. -- Me
Bank (n): See scam, fraud and theft. Eat a bankster -- they're low-carb.
What part of "shall not be infringed" was unclear?
Pika-steph
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Huh? I don't get the AutoMaticEarth post - why is he saying Karl is advocating suspension of M2M?

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Stop the Looting; Start Prosecuting - http://www.FedUpUSA.org/
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"The only regulation that really works is failure."--Rick Santelli
Genesis
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Because I am - for about six months, coupled with a bunch of other stuff.

He's got a reading disorder. He get the Bull (I'm sure you can figure out which PART of the bull, and where) tomorrow.

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I don't care if it makes sense -- only if it makes money. -- Me
Bank (n): See scam, fraud and theft. Eat a bankster -- they're low-carb.
What part of "shall not be infringed" was unclear?
Burtoby
Posts: 621
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Arlington,Tx
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......

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Tryin' to turn 6 figures into 7.

Pika-steph
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Ah. Okay. Missed that Ticker.

I dunno - sounds good - but - I have no faith any of these clowns in charge of 'regulation' would actually adhere to any temporary, six-month, limitation. Next thing you know, M2M is gone forever - except for 'regular' people.

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Stop the Looting; Start Prosecuting - http://www.FedUpUSA.org/
inline
"The only regulation that really works is failure."--Rick Santelli
Genesis
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Its effective not there now with Level III and SIVs.

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I don't care if it makes sense -- only if it makes money. -- Me
Bank (n): See scam, fraud and theft. Eat a bankster -- they're low-carb.
What part of "shall not be infringed" was unclear?
Brobdingnagian
Posts: 639
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Oligarchansas
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Ya, Dude at Automatic Earth writes like a 9th-grader with severe ADD.

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"We are about to discover what happens when widespread panglossian delusions run head-on into mathematical reality."

-Eleua
Arkroyal
Posts: 115
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St. Augustine, FL
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Dyslexics Untie! :)
Clintb350
Posts: 1521
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Southern AZ
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OK Karl - Illargi has launched a frontal principle attack - quoting you here, and some comments...

Quote:


Give people cover?!?! We thought Pigmen were FAIL!


Quote:


Can't throw this at people with an instant implementation and we have a "fire sale" problem!?!?

We thought Pigmen were FAIL!

Just front running TAE readership (sentiment)... I'm certain you'll address this in tomorrow's ticker. smiley



Reza30
Posts: 289
Incept: 2009-02-15

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Perfect suckers rally today:

1. So Barney Frank comes out and says short selling should be banned again. Shorts run for cover and the market goes up.
2. Bernanke comes out and basically says we should ease mark-to-market rules. Crooks come out and celebrate.
3. CITI says it had a good quarter. After 36 billion dollars of tax payer money they better.
4. Technical levels were screaming for a bounce.

I can go on and on, but I will leave the rest for Karl.

Genesis
Posts: 131439
Incept: 2007-06-26
Admin A True American Patriot!
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Where's that one? Sheesh - they're multiplying!

****ing rabbits. Where's my shotgun?

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I don't care if it makes sense -- only if it makes money. -- Me
Bank (n): See scam, fraud and theft. Eat a bankster -- they're low-carb.
What part of "shall not be infringed" was unclear?
Clintb350
Posts: 1521
Incept: 2008-01-19

Southern AZ
Online
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That didn't come out like I planned - need more Limited HTML training...
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