Well, I'm back from Romania, having attended a wonderful wedding in a place called Sudcombe in the Cotswolds on Saturday. Even if I say so myself I looked exceptionally attractive in my new floral waistcoat. The nibbles were excellent, and it was a bun and run type, where everyone was able to move about amongst their friends. The only drawback is the people drinking around me when I am on the wagon - which I permanently am in the UK. The wedding had a touch of Charles and Camilla- the groom was 61, married before, divorced, the bride a stripling of 57, never married, who has been in love with the groom since she was a little girl. Ah, young love. Or in this case, somewhat geriatric. When the vicar asked then to kneel, they both required helping hands both on the way down and the way up. I'm being a touch catty I suppose.
But I digress.
I don't care how much spin Alistair Darling and Merve the swerve put out - they have completely screwed up.Remeber Merve's " Well noone's asked us for extra liquidity so we haven't provided any." Somewhat economical with the truth there - it emerges representatives from the major high street banks ALL asked for it and were told they would have to make do. See how the BofE secrecy rules help them? The other banks could hardly say the Governor was lying, could they?
From Mervyn's " We won't bail out imprudent lenders," and 24 hours later, " er yes well, criteria justified blah blah." It is entirely clear the bailoutof Northern Rock is a political expedient - not least because Brown's favourite banker ( Wanless) sits on Northern Rocks board and credit committee.
Even worse, it has emerged that Lloyds TSB said they would take them over, provided the BofE gave them the same deal as they were giving Northern Rock, only to be told no no. Except that, er well, er, PLEASE take us over shouts the Chairman, and er, oh, yes, BofE says of course we'll keep the loan in place, justified, criteria, strict guidelines bollocks. And Darling blethers about Cameron and the ERM debacle ( Why? It is completely unconnected and irrelevant). And, of course, Brown has disappeared again - bit dodgy out there at the moment. Such a coward that man. Prime Minister and Leader? More like Walker in Dad's Army.
So this just might be the point where Blair's Legacy has come home to roost.
In the States, Bernanke, despite his seemingly impeccable credentials for just such a moment, dare not keep the Fed rate at it's present level.
Greenspan's gibbering over the last few days has shown just what a rubbish economist and understander of the markets he is. When he was originally being confirmed by the Senate as Chairman of the Fed, one of the Senators brought up his record to date - which included being wrong on every single decision he had ever made in his business life. The Senator sighed " I guess it must be about time for you to get one right."
Unfortunately, he didn't.