CENTRAL BANKS RESPOND TO 'BAT SIGNAL' IN THE SKY
BOE ends speculation about UK bank solvency by ... throwing a giant puke-bucket in front of them. It will work.
A rare, co-ordinated policy rate cut helps the forces of reflation to ... win the battle of the day. The Fed is in the credit business, with a newly announced CP program (not just backstops, mind you, but full-frontal lending to the corporate sector).
Now, all we need is Bush to come out and encourage everyone to ... keep spending :-)
Still, the questions about asset quality will linger. The fears over the depth of the upcoming slowdown ... can grip again, at any time.
Very strong forces are poised on either side, which is why the price-of-risk is so high, priced to heaven or hell, if you will.
Wednesday, October 8, 2008
In the long-run, we're all dead
