Quote:

Consequently, the Committee anticipates that the unemployment rate will decline only slowly toward levels that it judges to be consistent with its dual mandate

Price stability.....
What is ZERO, Alex?

The Fed, pacing
Posted by FT Alphaville on Aug 01 19:18.
http://ftalphaville.ft.com/blog/2012/08/....

3 key quotes

FT Alphaville wrote..

• The biggest change is in the very first paragraph. In June the Fed had written that the economy “has been expanding moderately”. Now economic activity has “decelerated somewhat over the first half of this year.”
  
  
• The other substantive change was the addition that the committee “will closely monitor incoming information on economic and financial developments”.
  
  
• “The Committee anticipates that inflation over the medium term will run at or below the rate that it judges most consistent with its dual mandate”

The writing is on the wall: QE3 is not a matter of IF, it's a matter of WHEN, and most probably sooner than later.

Larry Meyers starts the day scrambling to defend the fed on CNBS this morning.

In my opinion, the Fed is out of bullets and will lose credibility (admitting failure) with another round of QE of any significant magnitude. I think the whole house of cards comes crashing down around election time, and a war with Iran will occur around the same time to deflect blame to the middle east.

Totally politically impacting at this point, QE3 and Fail, Obama done no questions asked, no QE3 and official Recession (Fail), Obama still stands a chance in one of the ugliest political seasons in history, no QE3 and we muddle along or QE3 and short run bump lasting through election day, Obama may just be able to pull it out. These decisions will impact the election no matter which way it goes at this point. They have painted themselves into a corner, in a corner.

Quote:

Obama may just be able to pull it out.

LOL!

Saying for many months; the more people get to know Mittens, the less they like him.

For you and I, this is a battle of ideology; but for the average voter it is a popularity contest.

Obama is 100x cooler than Mittens; too many (including this Caucasian) view Mittens as an annoying, white rich guy more in touch with the country club crowd than the average person.

Mittens is also making a terrible mistake with his ads which, again and again, keep telling me about Obama's corruption and failures...but they give me no reason to vote for Mittens?

Mittens ads fire up those that are already voting for him and give the people in the middle more reason to tune out than to vote for Mittens.

50% of Obama's ads, that I've seen, tell me why I should vote for him; it's mostly BS, yes, but it's still giving me something to vote for rather than against...and that's what people want; to be lead somewhere by someone willing to take the lead.

Whether the destination is good or bad, they don't care; they just want the hassle of leading to be handed off to someone that makes them feel good about being led there...


~~~~~~~~~~~~

As if I needed to provide another example of how shallow and stupid we are...

Chick-fil-A CEO is anti gay rights...1500 Christians show up at the local mall food court today and wait 4 hrs for a chicken sandwich in support of his views.

Meanwhile...a little while back...

The Des Moines Iowa school board conspired with the superintendent to hide her misuse of public computers to send sexually explicit emails to her married lover...

They lied to the public about everything and sent the bimbo on her way to a new school system (that they also lied to) with a million dollar golden parachute (even though they routinely call for property tax increases because of budget shortfalls?).

Public/Christian response....YAWN!...They'd rather be at the mall supporting a homophobe chicken purveyor.

Quote:

The writing is on the wall: QE3 is not a matter of IF, it's a matter of WHEN, and most probably sooner than later. smiley

If Bernank shoots his wad now, it will be long since wiped off the face of Wall Street come November; best to mentally focus on baseball and Fugly women now and hold back that last shot until just before the election...say October 1st or so...

That should keep Obama in the House and Bernank his job...

Seriously Debtpie?

We CANNOT be living in the same country.

Quote:

^^Ignore this Liberal tripe.^^

You've drank so much Kool-aid you can't even differentiate between a Liberal and an Independent.

I'm a Registered Independent formerly Republican, NEVER A DEMOCRAT...yeah, that's how badly the Republican party has fuscked up it's historical support base.

Voted Reagan, Bush1, every loser they put up against Clinton, and the first Bush2 term...four years of Bush made me an Independent.

I see clearly now; both parties are corrupt...just a matter of picking the least corrupt for me.

>>US Debt an issue?
More Democrats voted against the last ceiling increase than Republicans...so Republicans are the ones to blame for that...had Republicans sided with Democrats there would have been no debt limit increase and we would have instantly balanced the budget...boy would that have been fun...

>>War an issue?
Well, do I really need to go in to that?

>>Government takeover of the health insurance system an issue?
Republicans will fight to the death in support of Medicare...but want to repeal ObamaCare? F' them; I want my free health care too...why should it just be the geezers that steal from the young?

Quote:

Consequently, the Committee anticipates that the unemployment rate will decline only slowly toward levels that it judges to be consistent with its dual mandate.

I call bull**** and Bernanke is blind. All indicators are that the world is slipping off a cliff right now AND the drought is going to seriously affect farmers and their spending in the economy.

Unless they stuff a ****load of people on SS, the unemployment rate is going up, not down, Bernanke is going to get a clear miss on this one.

Debtpie, just to be clear, and with all due respect, this is a ticker on the Fed Meeting and action/inaction, my comments on Obama where to make a point that it is all political now and will impact the election regardless of what guys like Turbo T say on Eurotell for the masses. Respect the ticker and let’s take the "Obama good, Mittens bad" stuff to the politics threads or the bar.

Bernankes "been out of bullets" since oh, 2009, 2010, 2011. Or something like 500-600 Snp points ago. I don't think the market will come unglued till sometime late 2014/early 2015. IMO, Bernanke has done an outstanding job of keeping this Bull Market going.

Quote:

...say October 1st or so...

That is some funnnnnny stuff, man!

Thanks!

Wow Debtpie...hair trigger on that copy/paste function.

This is the Liberal Tripe I was referring to:

Debtpie wrote..

Obama is 100x cooler than Mittens

[bull****]...and meaningless.

Debtpie wrote..

50% of Obama's ads, that I've seen, tell me why I should vote for him; it's mostly BS, yes, but it's still giving me something to vote for rather than against...and that's what people want; to be lead somewhere by someone willing to take the lead.

[bull****]

Debtpie wrote..

Chick-fil-A CEO is anti gay rights

[bull****]...not at all what he said.

Debtpie wrote..

Public/Christian response....YAWN!...They'd rather be at the mall supporting a homophobe chicken purveyor.

[bull****]...homophobe? Nothing he said publicly expressed any kind of phobia.

...but then I thought better of picking apart your comments, and changed my statement.

If you REALLY think of me as a Kool-Aid drinker, you haven't been paying attention around here.

Noodleman wrote..

The expiration date on my food stuffs and water in the garage are approaching. I don't think I'm going to re-up this time around.

I hear what you are saying, but I think that could end up being a monumental mistake. Why not have the "insurance"???? People are becoming quite complacent again, with a similar mindset. That's always what happens before it all falls apart.......

Quote:

The expiration date on my food stuffs and water in the garage are approaching. I don't think I'm going to re-up this time around.

Quote:

I hear what you are saying, but I think that could end up being a monumental mistake. Why not have the "insurance"???? People are becoming quite complacent again, with a similar mindset. That's always what happens before it all falls apart.......

I don't think the 2 views (Japan style vs big crash) are completely predictable. Either one is a possible outcome of reality. AKA, gravity wins. When I jump out of an airplane, I can take a nice slow ride with a parachute or a fast one without, but in the end I have to end up on the ground.

IMO, either one is reason to be prepared but as a sidebar I don't throw away stuff just because a date on them says I should. Use them up gradually and rotate in new.

As for my best guess, I still think we see a rather surprising fast downturn. In spite of the fact many people have stopped going into debt, there are plenty more that haven't.... and actually have no concept of what living within their means is. Unlike Japan, we don't have a society of savers. We have a society of spoiled rich kids who don't think the cow will ever run out of milk. Not enough voters are willing to accept the 15-20 year downturn it would take to come through this calmly.

Peter Schiff, et al, may also be right that we will look good for a while yet while markets focus on Europe and Japan. That just gives our rulers license to borrow more and makes me lean more towards the idea of a big crash.

We did see debt to GDP ratio tick down in 1 quarter (I presume via foreclosures?). If that continued, we could be on the path for slow, controlled recovery. But I'd have to see that for several quarters in a row before I think either the public or the politicians are going to tolerate it.