Must Rachet Up The Rhetoric
Ben Bernanke is doing a press conference this week. It’s the first time he’s ever done it. It will be in coordination with the Fed’s two day meeting. The question is why is he doing a presser? Make no mistake, nothing is random here. Could it be that the Fed expects it will need to defend its actions more thoroughly in the future? This doesn’t seem far-fetched. If this is indeed the case, I think it means higher inflation and more rhetoric to “ignore” the inflation and defend the inflationary policies. This should be fun.