Despite the fact the US dollar is making something of a recovery, and some officials have said that we're nearing the end of our economic troubles, Fed chair Ben Bernanke insists that financial markets still need help.
Bernanke listed some actions that have been taken to promote liquidity in the financial markets, and pledged to continue to take extraordinary steps (including those connected with the term auction facility) until the crisis has been weathered.
Will his comments commiting to liquidity help stimulate a flagging housing and mortgage market? That remains to be seen.
image credit: US government
With all the money the fed is printing to save housing they are helping to drive up the price of everything else. We are going to end up trading a housing slump for stagflation.
Posted by: David Neubert | May 13, 2008 9:53 AM | Permalink to Comment