MCM Macro Intraday Fed Comment, 1/10/08... 'Ooolah-lah'

So Ben Bernanke is concerned and "prepared to act in a decisive and timely manner"... Ooolah-lah, isnt that a shocking revelation!

The Fed Funds Futures opened this morning with 76% odds that he not only cuts at the January meeting, but cuts by 50 basis points. The odds of Bernanke not cutting stand at zero %.

Where i was raised, when my Dad gave me zero odds - zero meant zero. And i'm not entirely sure why anyone considers anything that Bernanke is revealing today as anything other than historical reflections on what we should all consider reality by now.

I'm not entirely sure why CNBC had a "Bernanke Count Down" clock at the bottom of their screen today either. This is a $14 Trillion economy, not a Bowl Game.

History will not look back kindly on this Fed Centric Mania. In the moment, it is too emotionally charged to fundamentally respect.

Be careful chasing rallies. The CPI and PPI inflation reports loom next week, and Bernanke's academic integrity will be hostage to those releases.

KM

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