Fed sees 3 to 6 more years of pain, “absent further shocks”
See Paul Krugman’s discussion of the depressed minutes of the last Fed Open Market Committee meeting.
The title of his column: Who’ll Stop the Pain?
In sympathy the Murdoch (formerly Dow) Industrials broke thru their crisis-lows from this past November (roughly 7400) and closed at 7365.  The all-time high from October 2007 was about 14,121, if memory serves.
Every dark thing I imagined in August 2007 has already come to pass. Whatever lies ahead is virgin territory.
The dithering of Obama-Geithner in the month since the inauguration is (despite this tepid defense) indefensible. Geithner, with his vague scattershot presentation last week, seems stricken with ADD at a time when leaders with the steely focus of the Terminator are needed.
Not that Arnold is doing well out West. I don’t mean we need more Arnolds. (But not that I’ve followed his work as governor.) Rather, we need more Chainsaw Bills.
Again I think back to the day Obama declared his candidacy. Barely a breath of this disaster in the air. It seems he took office with his head still somewhat in the clouds of that day’s dreams. That was then.
What a shame, if this disaster swallows and digests him whole.
Which resurfaces old thoughts — that Hillary was the better candidate a year ago to face this storm. She was ready to fight, and it seems he was not. A Hillary presidency, however badly buffeted, even broken, would have left Obama intact to continue leading the party thereafter.
A Good Leader is a Terrible Thing to Waste.  And the current configuration — with Clinton at State and Obama at the rudder of a ship that may sink — threatens to waste them both. Leaving what?
A far-right rebound in four years? Romney. Palin. (Rick Santelli …?!?)  What’s the Vegas line that cities will not be burning by the time of the party conventions in summer 2012?
If Arnold & co. don’t pick up steam, we may see cities burning before Memorial Day.
ed says:
British police warn government of upcoming “summer of rage” due to financial debacle.
February 24th, 2009 at 12:35 am
ed says:
Well, twenty days later Ben Bernanke speaks and tries to take back those nasty Minutes.
Suggested we might see “recovery” by year end. This year.
Wonder why he said that.
Also suggested mark-to-market accounting rules should be adjusted.
Meanwhile it was reported that the SEC is likely to reinstate the “uptick rule” in the markets, to make it harder for short sellers to do the voodoo they do so well.
So the Dow was up 400 points — having SUNK over 22% in the 30 calendar days since Timmy Geithner wet his pants in public.
March 10th, 2009 at 9:53 pm