Tag Archives: federal reserve

Bernhamlet commentary | stimulus



Famous quote we are hearing today in the financial markets…”to taper or not…that is the question?”


Bernhamlet (as we all know him Bernanke) has managed to provide the most elusive hype of the current century. Over the past 3 mths ...Bernhamlet   has continued to keep the media, traders and analysts guessing as to the Fed’s true plan. Either to end bond purchases and clear Federal Reserve Balance Sheet, slice alittle or continue to “print to infinity”. Yesterday’s Bernanke Speech via his Bernanke Press Conference in Washington, was not a shock for myself or others in the market..yet the media had seemed surprised. No TAPER…what??? After years of assessing technical and more so “macroeconomic” data…the Fed will continue provide these “menagerie tricks” as the U.S. economy cannot survive without continue more stimulus.


I read an article yesterday from the Telegraph in the U.K…and the editor had mentioned a valid point. Stimulus can be a positive factor for any economy…the key is to direct it where it is needed most. In the U.S. we have seen…the path of Unconditioned Stimulus into the “big banks” pockets or right into Wall St.


Can the Fed continue this hype as “chatter” continues today…will “Octaper” commence for next month? If Yellen is nominated or whomever the next candidate to replace Bernanke…will they correct the U.S. monetary policy and provide hope…or continue the “petal to the metal”.

Truly, Who Owns Federal Reserve..we all know it’s a private entity…and it will remain at the “helm”.  Overall, next month’s “Octaper”..if that transpires and U.S. debt limit will be heated discussion. Grab your popcorn as the end of 2013 will be the “highlight” in coming years and possibly Bernhamlet’s legacy.



FOMC meeting minutes drama??


FOMC Decision commentary today could cause a shake in the markets….

Bernanke speech today once again is the “rockstar” event in today’s commentary via the FOMC Meeting minutes. Traders and investors agree that the same FOMC Projections speech will be presented..i.e. monitoring employment figures..housing market is improving…..with a similar theme. The usual Bernanke Press Conference follows Federal Open Market Committee…yet Bernanke is able to “tame” the markets with Bernanke News.

The Fed continues to be the “main card” in the world ‘deck of cards’. Markets are awaiting FOMC announcement statement providing positive injection via the FED further “bond purchases” in the coming months. As well, Yellen and Summers if they are the selected candidates for Obama….they could be the ‘saviours’ to the market??

If Yellen is selected, she will be “status quo” and accepted for her “Bernhamlet stance ..”put the pedal to the metal”.

All the chatter about “tapering” is truly a buildup to failure. The Fed has no other option but to continue it’s purchases…truly…which economy wants to inherit the 2008 toxic assets via the housing crash?? US economic monetary policy will remain a question by numerous BRICS nations and other world economies.

Overall, the FOMC Statement provides the best “drama” in the financial markets. If an academy award is provided for the “best suspense”…”leading actor”…the Fed would win ‘hands down’. Hollywood has a slew of epic stories available …since 2008 to present 2013 pick your theme. How long can this continue?? Notch another ‘check mark’ in your book for the next headline in the FOMC Meeting Calendar.