From the Wall Street Journal:
Borrow from the Federal Reserve at zero and lend to Treasury for a profit. That’s some racket.
Treasury Secretary Tim Geithner and Federal Reserve Chairman Ben Bernanke have announced that the recession is over. Now that the Dow Jones Industrial Average has broken the 10,000 mark, we’ll surely be hearing assurances that economic growth is here to stay. But the credit markets are in much worse shape than some indicators suggest.
Read more here
Ms. Lee, an adjunct professor at New York University, is a former investment banker and hedge-fund partner.