FED WATCH

Let's face it, it's the only game in town. The Open Market Committee met today and will conclude deliberations tomorrow followed by the first real press conference in the history of the institution. What the result of the meeting is to be is not in much question. The result of the presser? That's anybody's guess.

I suspect what we will hear is that the boys are not particularly interested in ending QE II before the original termination date in June. This is a very idiological band of merry men led by Big Ben and Bill the Dud: they, like the post office will not be moved off their appointed rounds. We will probably hear that the accomodative monetary policy will continue for a while as the boys are convinced that the reinvestment of coupons is the way to go, the economy needs to be further incentivated, growth, while there is not strong enough and of course that there is no inflation in sight. The dollar will continue to slide down, commodities will slide up, oil will head towards 6 bucks a gallon and the entire world will remain pissed off.. No matter. God is on our side so we have the strength of ten. Little Paulie Krugman will applaud so who needs anything else?

Increasingly, there seems to be a disconnect between this institution and the rest of Washington and the country for that matter. Deficit reduction seems to be the talk of the town but with the kind of policy making we find within the central bank one wonders that is we shut everything down tomorrow whether Ben & Co. would even notice. They would probably still keep printing money like no tomorrow; it's fun! Between The Leader and his mob and Ben and his band, are you beginning to get the idea that there's really nobody in charge or at the very least nobody is talking to anybody else? Worse yet, nobody really seems to care. Meanwhile, The Leader is in full reelection mode, our foreign policy seems to be somewhat confused, food prices are on the same graph with gasoline and Donald Trump is getting more headlines than anybody. Boy are we in trouble and while all of this is going on we out here in the fly over zone just went under a thunderstorm and tornado watch. I think I'll go outside , climb a hill and hold a 1-iron over my head. As Lee Trevino used to say, "Not even God can hit a 1-iron." It's as good a solution as anything coming out of Washington.

See you tomorrow after the presser.