This chart of the S&P 500 in Eurodollars is from TPC:

sp-in-eurodollars2 The FED’s printing really is dollar destruction…and helps to destroy the most recent little rally too…

Simon Johnson in RGE Monitor:

As [Bernanke] sees the world, there is only one course of action remaining: print money and hope for a moderate degree of inflation.  The money part was, of course, the announcement yesterday from the Fed….The inflation part is a leap of faith…if you can explain to me exactly why oil prices rose as they did during the first part of 2008, despite the slowing global economy, I might be greatly reassured that we are not heading immediately into a runaway inflation spiral. “

Hmmm, we are having difficulty explaining it…so Dr. Bernanke may not get just a moderate amount…