The credit addicts on CNBC have got to be flying as high as they’ve ever flown before. The minutes from the Federal Reserve’s last meeting were made public yesterday and Wall Street revelled in the implied monetary largesse like a pig in first-class gravy. The Fed didn’t promise more rate cuts. But it did say that that inflation is not as big a worry and that, “Further actions would depend on how economic prospects were affected by evolving market developments and by other factors”.
Allow us to translate the Fedspeak: “Blah blah blah blah. We’ll keep cutting rates until the Dow reaches 20,000. Blah blah blah blah. Do you feel rich now that your stocks have gone up? Good! Maybe you won’t notice the US dollar has become a third world currency and the housing market is a shambles. Blah blah blah. Thank you, you credulous moron. Blah.”
Aussie John is getting into the personal loan market. “Yesterday, [John] Symond announced Aussie’s entry into the AU$2.5 billion-a-month personal loan and car finance market, a move that some many consider down-market but others may see as a necessary step towards being a serious financial services house,” reports Anna French in the Australian.
Great. Just what people need. More debt. What’s next, throwing bricks at a drowning man?