Daily Archives: 13 June 2010

Stupid or Evil? – Bernanke Puzzled by Gold Rally

Federal Reserve Chairman Ben Bernanke says he’s a bit puzzled by surging gold prices. The 30% rally from a year ago, on top of gains in previous years, might be interpreted as a loud signal from markets that big inflation pressures are building in the U.S. Gold is seen by many investors as a hedge against inflation risk.

. . . .

“I don’t fully understand movements in the gold price,” Mr. Bernanke admitted. But he suggested it might be another example of investors fleeing risky assets and flocking to assets that are perceived as less risky, not only Treasury bonds, but also ones like gold. (Read more from blogs.wsj.com)

Oh Noz! The FTC doesn’t like sites like Lost Republic

The Federal Trade Commission (FTC) is seeking ways to “reinvent” journalism, and that’s a cause for concern. According to a May 24 draft proposal, the agency thinks government should be at the center of a media overhaul. The bureaucracy sees it as a problem that the Internet has introduced a wealth of information options to consumers, forcing media companies to adapt and experiment to meet changing market needs. FTC’s policy staff fears this new reality.

“There are reasons for concern that experimentation may not produce a robust and sustainable business model for commercial journalism,” the report states. With no faith that the market will work things out for the better, government thinks it must come to the rescue. (Read more from washingtontimes.com)