Central Bankers' Day

CENTRAL BANKER'S DAY

Where a bunch of unelected, academic interventionists, who never had real jobs come together and play Axis and Allies with monopoly money.

bravo +1

never real jobs like trading pieces of paper claims...really ? is this the best you got ? unelected ? like supreme court justices--who are appointed by elected officials ? Like the president of the United States that is elected by an electoral college ? Here we have among the first central bankers to say that with measured price pressures low, the dollar strong and gold well off its higher that monetary policy should be aimed at boosting employment and you want to cynically dismiss him because he has been a professor to our children and not fixing your toilet ? Really ? I hope for your sake your trading is better than your analysis.

Nice sarcasm. If it's not, you are deluded beyond repair.

I think Bernanke is right. The Fed quit QE1 and QE2 early in the sense that the economy did not get traction. I think he is right that if it was not for the Fed's QE, the US would look a lot more like Europe. And yes, I find ad hominem attacks on all central bankers--because they never had really jobs, as if you have studied all their biographies--to make any analysis of central bank action superfluous. In my note identifying that today's theme was all about central banks--Japan, Europe, and the US. NY Rogue did not address any substantive issue or add value to share his trading view, but just to denigrate central bankers as a profession. I provided clear examples of other key positions in the Us that are not elected. I suggested that no other central bank has made job creation a key objective to policy. The Federal Reserve, the BOJ, the ECB etc are not playing with monopoly money but with actual currency. It is easier to dismiss my arguments my thinking it is sarcasm instead of addressing the substance of the issues and arguments.

The problem with the financial markets IS central banking. They distort all assets, thus rendering price discovery unachievable. They create inflation, a stealth tax, destroying the wealth of many at the benefit of the few controllers.

My friend, there should be no QE anything. They are creating currency and charging the interest to the citizens of the world. They bring nothing to the table, and collect on it.

If you think the bernankes (I don't capitalize his name just as we don't capitalize satan's name either) of this world are a benefit to the world markets, then you will be one of the many shocked people waiting on a long line with a food ration card in hand, wondering how it got that way, and yearning for the time you got to sit in front of the computer monitor watching Doji candles go green and red, just as the masters direct them to.

Central banking is the road which world government will roll in through.

er..say what? Have less of a regional debt, not indulged in open ended QE to infinity..stuff like that? ;-)

The US has not always had a central bank. In the years 1865-1914 there was no central bank. Over half those years were recessions, depressions, panics and crises. Bankers helped create the Federal Reserve. You say they create inflation and yet, inflation existed before the central bank did. QE is a natural extension of the Fed's power, which is given to it by elected officials and can change the mandate. Except in terms of scale I don't see how QE differs form more normal Fed operations, crediting a bank with reserves in exchange for securities.

If this were a poker game, I would take the US cards over Europe's which has a less of a central bank, and Japan, which has a central bank somewhat less independent, and UK and China.

Squeeze-I was thinking more in terms of record levels of unemployment and contracting for six consecutive quarters. The US is one of the few high income countries where the output is above the 2008 peak. You may call it QE infinity, but it is most assuredly not, even if I cannot tell you exactly when it will end.