Tuesday, December 11, 2007
Did central banks ever have control in the first place?
"The Fed and BOE easing actions simply are not working to restore faith in the credit markets. Credit conditions based on LIBOR are worse now than in the August and November stock market swoons. Banks remain reluctant to lend to one another in spite of central bank efforts to provide liquidity. Neither central bank appears to be in control of anything at the moment. Of course it was only an illusion that made it seem like central bankers ever were in control in the first place."