The coming Ben Speech

8:15 tomorrow Fed head Ben Bernanke will deliver another one of his speeches. Our expert helicopter pilot won't be directly saying another big cash drop (QE) is coming, but is expected by economists far and wide to signal the Fed will do what it takes to keep the economy going -- meaning more Ben bucks. As I've blogged before, the strategy at the Fed is clearly geared toward dollar depreciation in order to make U.S. goods cheaper overseas. Let's face it, Ben also has a preoccupation with the Great Depression's deflation. He's haunted by it and thinks we must avoid such a specter at all costs. Anyone who feels that Bernanke is principled like former Fed chief Volker and would stop the printing presses and lift rates, is simply cuckoo for Cocoa Puffs. While Big Ben would love to crater gold by directly saying he's applying the brakes to QE, he also knows that such action would send the stock market down 500 to 1000 points in no time flat and cause banks to implode left and right. Imho, the Bernanke Fed thinks it holds all of the cards and can control every thing and that a little inflation is good for the soul.. Ha! I expect the Fed will remain overly accommodative and end up having to vainly battle eventual hyperinflation.