(Editor's note: Earlier this morning, Hedgeye CEO Keith McCullough was asked what his estimate was for when the Bernanke Central Planners Fed will finally begin increasing the Fed Funds rate. Here's his response.)
KM: Well, my estimate and when the Fed will actually do what I would estimate they should do are two completely different things. The difference between the two is that one is math and the other is politics. That’s unfortunate.
I would never dare say that I have a forecast on when the Fed’s going to do anything. Because the best forecast you can have is having Bernanke, or one of the boys in his Crony Network, telling you. That’s why people pay so much money for that—the people that are still willing to pay for that kind of information. That’s the real answer.
When should he taper? He should be tapering right now. I mean, he should have tapered at the last meeting. He should be tapering through September. But that doesn’t mean that he will. So it’s kind of a tough one to answer.
Because what he should do, and what he will do, are two very different things.
Look, this is the first Federal Reserve chief in U.S. history to never raise interest rates. Never. He won’t even taper! Never mind raise interest rates. It’s sad, and it’s pathetic. But we just have to deal with the game that’s in front of us.