Gold Slams Bernanke

[expat_panama]

Fed head Ben Bernanke, at his first-ever news conference on Wednesday, slammed the door shut on any new QE3 pump-priming.

The $600 billion QE2 program to purchase bonds will end on target at the end of June, and that will be that. Mr. Bernanke also suggested that the Fed’s “extended period” for the near-zero federal funds target rate could end in a couple of meetings.

Perhaps these announcements suggest a bit-less-easy monetary policy.

Perhaps.

But Mr. Bernanke had no defense of the sinking dollar, or the inflation it brings, or the drop in middle-class living standards it causes.

So it’s little surprise that gold prices surged

More at Larry Kudlow Gold Slams Bernanke


Larry Kudlow sometimes disappoints me, but he crosses the line when he goes into his own parallel Bizarro economic universe. Namely, the party line croc about "the sinking dollar" bringing inflation. Hell, anyone can look at past exchange rates (from say, the Fed here) and compare them to the CPI (from the BLS here) and see that---

--it's never happened before and isn't happening now.