BB is full of it. There is no way in hell they can inflate home prices. Zero chance. That is either some sort of scam or they are completely insane. The confluence of macro forces makes any attempts to do so look absolutely ridiculous. Either way he should be removed and the Federal Reserve, whose job it is to protect from asset bubbles, should be audited.
As well as this nonsense about returning confidence to the markets. That is where they are in a catch 22. They refuse to show there ever mounting dirty little secrets to anybody which is causing the destruction of confidence. It’s a no win situation. They show then you have bank runs, they don’t, no confidence returns. They avoid anybody that wants to try and value the assets like the plague. Hows that make you feel mister investor? Confident?
The feds game plan has not changed since Obama has come in. Which is hide the salami and keep pumping money into the banks to inflate the housing market and re-start people buying shit they can’t afford. Maybe a better question to ask is how can you run an economy that is dependent on people over spending? How long is that going to last? We gave citi and boa like 5x there worth and the can not stand. As unemployment mounts the assets continue to devalue and losses continue to mount.
Another question is how does the nationalization thing play out with a bunch of banks that have trillions in negative value, and mounting? Not good I suspect.
