There is no doubt in my mind that Ben Bernanke is a very intelligent man and quick to make things happen. For a very long time I couldn’t figure out why he avoided saying that we are heading into a recession that can’t be stopped? I see today what is finally going on. He is starting to “hint” that we are going into a recession to cover his tracks about when he said he thought we were going to be fine, even when he knew better. My theory is that he needed to pump confidence into the market for as long as he could to prevent a massive disaster. Even Alan Greenspan, the former Fed Chairman, knew this was coming.
Recession is inevitable, but saying it now would be disastrous. American people need to believe the government can take care of them. They’ve been conditioned to believe the government has a handle on our economy and knows what it is doing.
The other thing today is Energy report. What a shock! (yes, it’s sarcasm) It basically pointed out gas prices may go up again. oh boy…
Prepare for a long summer. Stock up when things go on sale, because we are heading toward some big inflation trends.