Saturday, April 23, 2011
Federal Reserve Head Ben Bernanke Announces First Press Conference Ever and Why You Should Be Watching This Wednesday
By Nicholas Contompasis
As headlines stream in from around the world, the effects of Ben Bernanke’s weak dollar, print more money policies, are now hitting the third world like a sledgehammer. I’m convinced that Mr. Bernanke gets no thrill out of printing money, thus devaluing our currency and others that are pegged to the USD. It should now be plain to all that the excess spending of the U.S. government has forced the Federal Reserve to put the printing presses on 24/7 operation till somebody in the government screams “uncle.”
That day of reckoning is coming in May when Congress gets back to work on fixing the “Debt Ceiling” problem. It’s no coincidence that the head of the Fed has announced the first press conference ever, just six days prior to the reconvening of Congress.
If you understand anything about what’s going on, his conference this Wednesday will telegraph what Congress and the President will eventually do. There is no doubt that whatever medicine Mr. Bernanke will be handing out, it won’t go down well with the political class. The Left, who for all intents and purposes put us where we are prematurely, will have a cow, and the Right led by the Tea Party won’t be happy unless all excess spending is stopped in its tracks now.
The problem Mr. Bernanke has is that many around the world are starting to blame him for the upheavals in many African and Middle Eastern countries.
With gasoline and food in the U.S. skyrocketing many here are also looking for a culprit, and Ben is on the short list.
So, it’s my belief that Wednesday’s news conference will clearly lay the blame on Congress, past and present, and will illustrate the magnitude of their folly. Unfortunately, the one person who has allowed this to happen is the President himself, and Mr. Bernanke shouldn’t leave him out as he points his finger around the room, but that wouldn’t be cricket, would it?