Some baby boomers are in a position to benefit from higher stock prices, but many are not. Older boomers - along with all the many Americans in their 70's and 80's - who adhered to the financial dictate of moving their assets into safer, income-producing instruments, are getting slaughtered.
Thanks to Bernanke's push to lower interest rates, their retirement incomes are a pittance. This forces them to sell what few "risk assets" they own - like mutual funds - to pay their bills. Just look at the data showing 26 consecutive weeks of outflows from domestic equity mutual funds.
Meanwhile, the dollar debasement raises the price of commodities, causing an escalation in the cost of their primary living expenses - food and energy. Plus, health care reform has resulted in higher medical insurance costs. Plus, in my home state of Florida anyway, property taxes and insurance costs have skyrocketed.
Older Americans are not going to tolerate this. They comprise the largest voting block in the country, and I think their anger may have contributed in large part to the anti-incumbant wave of Tuesday.
At some point, one of the political parties is going to realize they can capture this huge voting block by "coming to their rescue" by stopping Ben Bernanke's war on their savings.
Ok, rant over...
