Keep Hope Alive

If putting a floor in market prices by lowering interest rates was known as the Greenspan Put, whereby former Federal Reserve Chairman Alan Greenspan would protect equity investors by propping up stock prices then I have to say we are now in the midst of the opposite.  Now every time this administration opens its mouth stocks go down, effectively puting a ceiling on how high they may return to.  In honor, I am attempting to coin the term the Bernanke Call.  Afterall, now Wallmart and the administration have the same objective, to keep rolling back prices for everyone. 

Somehow I don’t see the Middle Class Task Force encouraging hard working families to sock their savings away back into the market.  Au contraire, retail investors are getting so panicked they are more likely to withdraw everying moments before a bullish correction.  Without confidence, capital cannot freely flow to the areas it ought to.  Wealth destruction aside, that is the largest problem we may face moving forward.  Without capital, Capitalism is just another ism.  I suppose this is where I fray in my support.

I’m beging to wonder if the platform built on hope was less of a beacon and more of a strategy.


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