Don’t give up on the jobs crisis yet!
OK, clearly the markets aren’t listening to me—not exactly a surprise. But they’re not listening to Ben either, who’s been saying that the economy’s getting a bit better, so interest rates are going up. And at some point, sooner than later, he and his buds are going to start adding a bit less juice to the punch bowl. Surely, markets, (he’s saying) you didn’t think this easy money party was going to last forever? After all, central banks in healthy economies don’t have $3.4 trillion balance sheets and hold rates at zero.
Here’s a little sample of what’s on the wires re markets and Ben right now—if they were going out, they’d need couples’ therapy (“Markets, I think Ben is trying to tell you something…can you tell Ben why you’re having trouble hearing him?”).
Bernanke and Markets, Crazed and Confused
Bernanke Speaks, and Markets Tumble