The Great Bernanke Depression/Inflation liquidity trap, and pushing on a string. Options

[mrre1999]

RBS has more than 27 billion pounds in approved corporate lending that’s going unused, said Peter Ibbetson, chairman of small business banking in London. HSBC Holdings Plc said it too was experiencing a “lack of demand” for credit, according to Noel Quinn, its U.K. head of commercial banking. Loan demand from “small- to medium-sized” businesses was down as much as 20 percent and borrowers were accelerating debt repayments, said Stephen Pegg, head of external affairs for Lloyds Banking Group Commercial.

‘Readjusted View’

Lending to companies fell by 4.6 billion pounds in September, sending the 12-month growth rate to its lowest since records began in 1999, the Bank of England said on Nov. 18. Many firms reported continued concerns over access to finance, the central bank said. (Especially if they aren't credit worthy)--my quote

Excerpted from:

http://www.bloomberg.com/apps/news?pid=206...r.JAo&pos=6

[Lee Adler]

I've been chronicling the lack of loan demand for months in the Wall Street Examiner Professional Edition Fed report. The media is just waking up, to what the data has been telling us for the past 3-4 months at least. Everybody wants to get rid of debt, not increase it. The fact that anyone thought otherwise shows just how out of touch the Fed, Treasury, and everybody in the Wall Street media machine is. We're in a deflationary debt collapse and nobody wants to admit it, ESPECIALLY the leveraged speculating community with their dollar carry trade. Another massive bubble with no substance behind it.

Pathetic.

Might as well just hunker down and wait for the next crash. It's coming. That's for sure.

[mrre1999]

IMO the next crash you refer to will come on faster and be more brutal, with larger breaks in the dam, than the last. AND the American public is fed up with ANY more bailouts. So look for it to be associated with more actual violence directed against Wall Street and DC.(The beginning of the long overdue big cleanout)

Also, why I constantly rail against the perps--all of whom are not only still walking around free, but are in a feeding frenzy off the FED and Treasury largess. Can you imagine what would happen if there was another large scale terrorist strike? How could they leave America so vulnerable?