After yesterday's debacle for the Fed, could even more grey clouds be gathering for the Chairman? As readers will recall Alan Grayson recently presented several questions, the response to which would serve as a gating factor to Bernanke's reconfirmation. Alas, that initiative never appeared to get much traction. In fact upon questioning Chris Dodd said that Bernanke's confirmation was a done deal.
"I've indicated I want to be supportive. I think Ben Bernanke's done a very good job, particularly in the last year or so. I think that view is embraced by a lot of people," said Dodd, a Democrat.
"The chairman's not going anywhere," Dodd said.
Yet a recent interview by Mike Stark indicates that Mr. Dodd may have had a change of heart about the certainty of Mr. Bernanke's tenure, and is now voicing much less certainty about the continued tenure of the fiat money printer.
As the clip demonstrates, Dodd may be reeling under increasing Main Street pressure to not seem like the Fed puppet that Mr. Barney Frank has disclosed himself to be.
Mike Stark: “Is it a foregone conclusion that he’ll be confirmed?”
Senator Dodd: “Not necessarily, not necessarily, we’ll see how members react.”
Mike Stark: “What do you think his chances are?”
Senator Dodd: “Well I don’t know, as Chairman of the committee I don’t want to speculate how other members feel about it, we’ll see what happens.”
As a reminder Frank stated the following: "“It’s going to be seen as weakening the independence of monetary policy with consequent negative implications. People are going to be worried about the impact on the dollar, on the interest rate.” Of course, in reality there is absolutely nothing factual contained in Frank's statement, which is merely another escalation of the Mutual Assured Destruction doctrine, so well practiced by Wall Street, and finally getting adopted by Washington. Should the final Paul-Grayson bill pass in its current form, we expect nothing less than a resignation by Mr. Frank, followed hopefully by the resignations of his "supervisors", Mr. Geithner and Mr. Bernanke.
In the meantime, keep an eye out on future commentaries by Dodd and other members of our ruling "elite" vis-a-vis Bernanke and the Fed. If yesterday is any indication, the opposition of the majority of the public's opinion, especially if its finally bears fruit in a Fed transparency outcome, will be equivalent to political suicide for all those who have been supporting the Fed's desire to maintain its unprecedented secrecy.