Have you ever done this:
You’re in a relationship with a beautiful girl. She’s so pretty. You’re so attracted to her. And you love showing her off when you go out. You feel like such a stud for having such a good looking girlfriend. Everybody thinks your cool. Your status and popularity are much improved.
Only problem is she’s difficult. She complains about how you dress and where you take her out to dinner. Sometimes she calls you at inconvenient times, like when you’re at work, and demands your full attention. Also, she’s superficial. She spends thousands at the mall and takes hours to get ready.
After a while, even though she’s beautiful, you realize that you don’t really like her. And you’re tired of her constant harassment and interruptions. Why is it that her needs always take precedence over yours?
So, for all the right reasons, you decide to end it. You set up a meeting with her and tell her that you are moving on. You wish her all the best. You leave with a cleansed conscience and an exhilirating sense of freedom.
But then, as you’re sitting at home a couple days later, feeling lonely, you start to miss her. You’re scared you won’t find somebody else as good. You start to feel a little desperate.
Shoving aside your conscience and all the bothersome little thoughts about why you broke up with her in the first place, you call her up. You say that you think you made a mistake and you want to give it another shot.
The problem is that now you’ve put yourself in a desperate position and given away all your power.
She can say “No” and you’re right back where you were 15 minutes ago – but without your self respect.
Even if she takes you back, she’s watching you and you’re forced to be on your best behavior and pander to her superficial narcissism. The next time you stand up to her just a little bit, she throws a fit and you’re right back in that relationship you wanted to get out of.
Well, apparently, Ben Bernanke never learned this lesson.
By offering up his Term Auction Facility (TAF) program first thing this morning, he’s essentially begging Wall Street for forgiveness and to take him back. And, as markets have already began to fade the early big move up (she’s complaining already! – S&P Intraday Chart), he’s going to have to give them everything they want or else he’s going to end up right back where he was last night – alone, in his Federal Reserve office, wondering why Wall Street just can’t accept him for what he is. Without his self respect, of course.