America Gets the Fed It Deserves

"One has to wonder what events could provide positive momentum to GDP growth, push corporate earnings to record highs as the consensus predicts as early as next year, or generate any lasting inflation, for that matter.  It's the people that make these pricing decisions. Businesses can only price up to what consumers are willing to pay. It is households that determine whether or not we have inflation, not some bureaucrat in Washington who believes he has control over some printing press."

- David Rosenberg at Zero Hedge

CNN Money Video

$7 coffee success 'stuns' Starbucks CEO

Howard Schultz says he is surprised by how popular the $7 coffee is among Starbucks customers.

When the Fed pumps credit into a system full of consumers who are willing to fork over 7 present day Ben Bernanke Fun Bucks or 7+ future date Ben Bernanke Fun Buck Credits for a goddamned cup of coffee, it is a match made in Heaven...or Hell, or Starbucks (which might actually be one of the circles of Hell) whichever you prefer....

A Bill Bonner phrase that goes something like - Mr. Market seldom gives us what we expect but he always gives us what we deserve...sometimes good and hard.