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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?


To: Tommaso who wrote (67744)8/17/2007 1:54:12 PM
From: mishedlo  Read Replies (1) | Respond to of 116555
 
Futures Fireworks and Moral Hazards
globaleconomicanalysis.blogspot.com
In a surprise move the Fed cut the discount rate 50 basis points. Stock futures that were sinking took off like a rocket.The moral hazards of the Fed continue but Bernanke is doomed to fail. Here is the key: There is both a decreasing demand for credit and a decreasing willingness to extend it. And economic fundamentals get worse every single day.

Mish