Fox Business anchor Stu Varney released a video on Youtube this morning talking about what happens when Ben Bernanke makes the decision to “print up a storm” – as he essentially did in yesterday’s Fed Announcement.
Varney lamented that the American middle class can not be happy because the Fed announcement has not only caused the dollar to slide, but also caused oil prices to jump to $100 per barrel. Varney then broke down the chain reaction caused by this: ”Ben prints. Dollar goes down. Up go these hard assests like oil. Hundred dollar oil. Gas at 4 dollars.”
But all is not negative from the native Brit. He gave the other side of coin:
“Sure, you’ve got a wonderful stock market rally and its going to continue this Friday morning. What is it now, 13,500? Approaching 13,600? 7 or 8 percentage points away from the ALL TIME high? This raises some questions: what happens if Romney wins the White House, replaces Bernanke, and we see the end of this money printing? Does the stock market go down? Are investors hoping for an obama win?”
Interesting perspective, Mr. Varney.