Bernanke In All His Glory

I have previously been quite negative on Uncle Ben.

http://tradersutra.blogspot.com/2009/08/opposite-ends-of-reality.html

http://tradersutra.blogspot.com/2009/09/bernanke-speaks-who-cares.html

But I also stated that he should be renominated.

http://tradersutra.blogspot.com/2009/07/let-bernanke-clean-up-his-own-mess.html

As well as we currently don't have a reasonable replacement.

http://tradersutra.blogspot.com/2010/02/i-dont-like-bernanke-either.html

My friend sent me this piece about Bernanke. Its a combination of his greatest hits, I mean misses.

Some of these are real classics. I understand that if a camera crew was following me around 24/7 and took down notes of what I have stated over the years it would be quite embarrassing for me, but again I am not the guy heading our central bank so the simple fact that Bernanke got everything wrong from a financial/economic sense is truly startling.



The best part at 1:00

"Its a pretty unlikely possibility. We have never had a nationwide decline in house prices."

Some say if we continue to listen to this guy we are all doomed. To which I say? Where do you think we are now? Remember a 50bp rise in short rates completely shelled the over leveraged complex CMO Market in 1994. We now have infinite leverage and complexity encompassing the globe with state sponsored monies holding them up. All being financed with ZIRP. Rates are going nowhere and the Casino lives and breathes on.

Its even money that Greece in 10 years will be in the same predicament as they are in today. This is because the idiots that put them in this position will be put out to pasture, all with golden parachutes BTW, new idiots who are poor will build up debt 3x as worse, get wealthy and new German/French Bankers will bail them out again. It wouldn't be so funny if it wasn't so damn depressing.