Zeev's Turnips Patch-No Politics (ZEEV)

[Joe Stocks]

>> If you take that stand, than it is also the feds job to "control undervaluation" of equities (assets)<<<

Ahhh, Zeev.....they do. What do you think they are doing when they lower the discount rate. They most certainly recognize that the economy has slowed, earnings have dropped, and the country needs a little boost. Stock prices reflect earnings. Anyway you want to look at the market, it is overvalued in historical terms. Yet, we see Fed governors out almost everyday cheerleading. The Fed should not be trying to use stock values as a tool to pump up a stronger economy. We all know what happens in the end - another bursting bubble.
The Fed influences valutions on the dollar and bonds, why is it hard to believe that their actions are not designed to influence the valuation of equities also?