More Bernanke BS. No surprises, no real changes. Rates to stay low over the future, and the Fed will probably be buying Treasuries, but they won’t call it QE3. The market reaction — precious metals continued higher, the dollar sank further, and stocks continued their climb. The market’s reaction to the Bernanke Speech — more of the same, with the Fed denying that there is any danger of inflation. The Fed’s real worry continues to be deflation. The Fed is afraid that if they exit the market deflation will immediately take over. — Richard Russell Dow Theory Letters

What the hell does it mean anymore? Really? “A Strong and stable dollar is in the best interest of the US and global economy.” What does it mean?

Because it certainly does not mean the Federal Reserve or the US Treasury is acting to strengthen the value of the dollar – it is argued every day that they are doing the exact opposite. So if they are merely lying to us, and they’re intention now is to devalue the US dollar for one or many undisclosed reasons, then at least we can take solace in the fact that they’re doing a damn good job at it.

Looking at the other end of the propaganda spectrum, are we experiencing or about to experience a dollar crisis?