"We are not recommending investors buy canned goods and bottled water at this point,"

[antigop]

http://money.cnn.com/2008/06/26/news/economy/stock_selloff.fortune/index.htm?postversion=2008062613

Thursday's stock market selloff reflects a sobering truth: Nine months of strong medicine have failed to cure the credit crisis and left the economy in a weakened state.

The Dow Jones Industrial Average dropped 2% in midday trading to its 2008 low, a day after the Fed held its key interest rate target steady for the first time following nine months of aggressive rate cuts and loans to financial firms. The central bank said it is concerned about rising inflation but is also watching for signs that tepid economic growth will slow further.

The economy is struggling to muddle through a period dominated by two powerful negative forces. The Fed has cut rates by 3.25 percentage points over the past year in an attempt to shore up a weak, undercapitalized banking system swimming in bad loans tied to the housing bubble, and to cushion the loss of consumer spending power tied to falling house prices. But at the same time, consumers and businesses have been laboring under an increasing burden of surging food and fuel prices.

The problem now, from the point of view of Fed chief Ben Bernanke, is that trying to tackle either problem risks exacerbating the other.

The quote in the OP is taken from the end of the article.

[NightWatcher]

1. at this point????? are they really going to rec a good time to start stocking up?

[antigop]

4. I found the quote rather interesting... that's why I posted it n/t

[tanyev]

5. They want to wait until someone sets up a futures market in canned goods and bottled water.

Then they'll sound the alarm.

[truebrit71]

2. Ooops...too late....

Plus my freezer is full...

[gateley]

3. K&R - nt

[sshan2525]

6. Close the FBOT & Enron loopholes

...and gas will drop at least 25% in a week. Think of the positive effect on the consumer this would have. Why is this simple fix not even being talked about? We are in a death spiral here, folks. This might be the only possible way to avoid it.

[phantom power]

7. Heh. Have a lot of people been *asking*, Ben?

:rofl:

[Fairnessaboveall]

8. scary

Oil broke another record today.

[fasttense]

9. Have you ever wondered if this would have happened if the bushes had been Impeached? n/t

[mrreowwr_kittty]

10. Or not been elected in the first place.

If there's one political dynasty that must never, ever be given the reins of power again, it's the Bushes. They've been committing their mischeif since the 30s.