President Obama did something unexpected today. Many wall street pundits felt that he would not reappoint Bernanke to the fed and that the markets would reel as a result. Obama has decided that it's still the economy stupid.
All things considered, as Obama moves forward in his presidency, he does not need to create any obstacles to economic growth. And like it or not, the wall street establishment needs to feel good about what he is doing.
Now wall street does not need to worry about some unknown entity taking over the fed. They have their security blanket. And the jobless recovery will continue toward predictable economic growth.
Gotta love predictablility.
from the hill
"As an expert on the causes of the Great Depression, I’m sure Ben never imagined that he would be part of a team responsible for preventing another," Obama said. "But because of his background, his temperament, his courage and his creativity, that’s exactly what he has helped to achieve. And that is why I am reappointing him to another term as chairman of the Federal Reserve."the hill
Score one for the president on the most important issue facing his presidency. This is just another way of creating space and time for the harder work of passing health care legislation.
It's a good day for the Obama administration.
What are the odds he will get any credit for this appointment? Pretty low. Anything good that he does tends to be dismissed. Anybody could do it. And yes, there is a racist component.
Still the talking heads will have their work cut out for them to spin this negatively as an Obama weakness. We shall see.