Did Ben Say Anything Different?

[Tsing Tao]

Quote from Josef K:

WASHINGTON (MarketWatch) -- The Federal Reserve's proposed timetable for tapering its bond-buying program is not set in stone, said Federal Reserve Chairman Ben Bernanke on Wednesday. "I emphasize that, because our asset purchases depend on economic and financial developments, they are by no means on a preset course," Bernanke said in remarks prepared for delivery to the House Financial Services Committee. Bernanke repeated his guidance from mid-June that the Fed anticipates it will be appropriate to begin to moderate the pace of purchases "later this year," and end them "around midyear." The Fed chairman said the central bank would react to developments. If economic conditions were to improve faster that expected, the pace of asset purchases could be reduced "somewhat more quickly." But if the outlook were to become relatively less favorable, or if financial conditions were seen as too tight, "the current pace of purchases could be maintained for longer," Bernanke said. The chairman's prepared remarks were fairly dovish. He said the economy remained vulnerable to shocks and there was a risk that a dispute in Congress over the debt ceiling could hamper the recovery.

http://www.marketwatch.com/story/berrnanke-says-tapering-not-on-pre-set-course-2013-07-17

Like I said, the Fed's position didn't change.

Totally disagree. At first, Ben was pushing the idea of taper, then he was saying whoa, guys. We're not tapering yet. Now he's essentially admitting he doesn't know what the hell to do. Taper on, Taper off. We'll see how the economy does. Get back to me in 14.

 

[Josef K]

Quote from Tsing Tao:

Totally disagree. At first, Ben was pushing the idea of taper, then he was saying whoa, guys. We're not tapering yet. Now he's essentially admitting he doesn't know what the hell to do. Taper on, Taper off. We'll see how the economy does. Get back to me in 14.

Well, you're wrong. From June 19th:

"Mr. Bernanke continued the theme into his press conference, stating again that if economic conditions continue to improve, the Fed will begin tapering its bond purchases at the end of the year.

He did put a little more flesh on the bond tapering plan: may gradually reduce purchases later this year...will continue to reduce purchases through next year...may end in the middle of next year...will end purchases when unemployment is near seven percent.

But time and again he emphasized the pace was data dependent: if conditions improve faster than expected, reduction in bond purchases can accelerate. If conditions worsen, purchases could even increase."

[Emphasis added.]

http://www.cnbc.com/id/100829208

The reason you think the way you do, and the reason the market tanked after Bernanke's June speech, is because just about everyone ignored the part about his speech that I highlighted.

 

[Ned Stark]

Quote from hafez50:

Bottom line one day soon the mkt will turn on Bernanke and plunge regardless of qe. The gig has gotten old and its time to end

Maybe. But then again, who's going to be the one to start the war against the fed? Who's pockets are deepest?

 

[brokerboy]

ben is mr bojangles of wall street. he thinks they don't understand him and they make a ton of money playing him out. he talks about telling wall street everything he plans so no bubbles happen. he also said he does not favor wall street but when stocks move down the fed comes out talking and talking until it stops. its the first time in awhile i heard government call him out about it to his face even.

you can't have markets at all time highs and than say its fragile and not call it a bubble.

 

[vicirek]

One has to separate two things.

One is that the Fed has to provide support for the Government and big dealer Banks forever.

Second is that he cannot admit this. This is his job and he is paid for being good actor.

 

[Tsing Tao]

Quote from Josef K:


The reason you think the way you do, and the reason the market tanked after Bernanke's June speech, is because just about everyone ignored the part about his speech that I highlighted.

Ah yes, you're the oracle out of all of us. Friends, let us bow to the prognosticator of our times!

 

[Josef K]

Quote from Tsing Tao:

Ah yes, you're the oracle out of all of us. Friends, let us bow to the prognosticator of our times!

Huh? I didn't make a prediction, I gave what I think is the reason for happened in the past. Do you have a better reason for what happened?