Reply #4: I've said with every stupid rate cut that they needed

[Warpy]

to be counterintuitive and RAISE rates. If they keep cutting rates, the dollar is going to look much less attractive to foreign central banks than it does now, and it's already the red haired stepchild. The danger is that they will cut them low enough that China will be forced to let the Yuan float against the dollar, something that was necessary 20 years ago but which will kill what's left of the consumer economy if it happens now.

Maybe Volcker will advise the new Democratic president, who will then lean on that boob Bernanke to raise interest rates. Yes, the stock market will decline, but it's overvalued and needs to.

We've been on a ridiculous credit binge thanks to the concentration of wealth away from working people and the medicine to correct it is going to be very nasty. However, correction is necessary if we are to survive, at all.