Zeev's Turnips Patch-No Politics (ZEEV)

[late bloomer]

Interesting exchange on CNBS this morning.

Lawrence Lindsey and Steve Liesman were discussing a Fed survey that showed support for its "accomodative" policy. Rick Santelli pointed out that the respondants of the Fed survey were the Primary Dealers - the very entities that stand to benefit most by the Fed's accomodative policy, so of course the PD's are going to support the Fed's actions. Duh!

Lindsey agreed that Santelli's point was correct - the PD's and the Fed are working in each other's best interest.

And then Lindsey confirmed something many have suspected all along;

"Yes, the Fed and the Primary Dealers are working together to get asset prices up".

Can you say, POMO?