> >From the perspective of the historical preoccupations of central bankers,
>the FOMC blundered by getting locked into a transparent monetary policy.
>This is yet more floundering around trying to find a way out--a task that
>will be become urgent the next time the FOMC's international concerns come
>into conflict with its domestic ones.
But transparency's the thing everywhere, not just at the Fed. The markets and the press are constantly complaining about the ECB's lack of clarity.
They could buy stock or junk bonds without telling us, couldn't they? We don't half the rescues they undertake, I'm guessing. So what about the possibility that this was an attempt to reactivate the Greenspan put, to keep the recovery from derailing?
Doug