« Liberal Fury | Main | Just sayin' »

Too Toxic To Fail

By Al Schumann on Saturday August 15, 2009 07:29 PM

And too toxic to be anything but disaster. The Fed is hiring. Words to cause the stoutest hearts to skip a beat. They have $2 trillion worth of opaque toxicity, it's handled by the worst people possible (think arsonists as recruits for the fire department) under the control of economists whose real world function is providing obfuscatory rhetoric and bailouts for banksters. If the Bush regime was a true kakistocracy, and it was to nine decimal places, what do you call the merit scholar version?

The Federal Reserve Bank of New York is aggressively hiring traders as its seeks to manage its burgeoning securities holdings, making the central bank one of Wall Street's most active recruiters of financial talent.

The New York Fed - the arm of the US central bank that implements its monetary policy - plans to increase the staff in its markets group to 400 by the end of the year - up from 240 at the end of 2007.

The Fed, which says that most of its new recruits come from private sector financial firms, is hiring employees as many banks, rating agencies, hedge funds and private equity groups shed staff. New York city officials recently estimated that the sector's woes would lead to a loss of up to 140,000 jobs.

The Fed's need for more traders is a direct consequence of the central bank's efforts to keep credit flowing through the US economy. The Fed has been buying fixed-income securities at such a rate that its assets have more than doubled to $2,000bn in the past year, leading the central bank to conclude that it needs more people to monitor the markets and to manage its credit risks.

Yikes! Please... no. Just don't do it. Please don't monitor the markets or credit risks. Haven't you done enough harm already?

Comments (2)

This is sounding more like Russia all the time.


My favorite moment was listening to the "pay czar" on npr explain how they had to pay huge bonuses otherwise the govt would never see their money again. Plus pay caps wouldnt attract such great talent

Post a comment

Note also that comments with three or more links may be held for "moderation" -- a strange term to apply to the ghost in this blog's machine. Seems to be a hard-coded limitation of the blog software, unfortunately.


This page contains a single entry from the blog posted on Saturday August 15, 2009 07:29 PM.

The previous post in this blog was Liberal Fury.

The next post in this blog is Just sayin'.

Many more can be found on the main index page or by looking through the archives.

Creative Commons License

This weblog is licensed under a Creative Commons License.
Powered by
Movable Type 3.31