Thursday, October 11, 2012


Spotted this last night at Business Insider:
Jim Bianco Has A Surprising Theory For How Mitt Romney Is Tanking The Market

Independent analyst Jim Bianco just just wrapped a very bold presentation at The Big Picture conference....

The most interesting comment came at the end, when he talked about the fact that the markets have been falling ever since Romney started surging in the polls after the debate.

... Bianco was insistent that there was an explanation. A Romney win would mean Bernanke out, and a likely much more hawkish Fed, perhaps helmed by monetary economist John Taylor, who has been a big opponent of QE.

We're still a little skeptical about this, but actually we heard this come up twice so far at the conference, so it's something on people's minds....
I have no idea if Bianco is right. But if he's right, think about it: The financial world hates Barack Obama -- but the markets may be dropping in anticipation of an Obama loss, because an Obama loss will mean an end to quantitative easing (QE), an economic stimulant backed by the likes of Paul Krugman and opposed by brilliant economic thinkers such as Sarah Palin.

So they admit this kind of thing has a positive effect. But they're still backing Romney, because he's not mean to them. Concern about their hurt fee-fees even trumps bottom-line concerns.


Victor said...

Instead of taxing us little people, maybe they should let us send in contributions so all of these assholes "Go Galt?"!!!

They expect us to kiss and lick their asses right after they shit down our necks.
"Hey, plebe, you missed a spot."

They had better hope there's never a day of reckoning coming, because there's a lot of us that won't show the mercy that is our natural inclination.
"Enough is too much already!"

Chris Andersen said...

It just proves the point that people who are good at one thing are not necessarily good at many other things. They may be good at making money. But that doesn't mean they have a lick of an understanding of how the whole economic system dependents on the active role of government.