Global Central Banks Revealed to be Cooperating to Stave off Economic Crises
I have often explained that the unprecedented and scary global economic meltdown threat would force all the Central Banks to work in unison to "prop up" the US economy and insure that it would not be the first domino to fall. Well, so far it's true.
12/16/07 - Central Banks Cooperate with Interest Rate Cuts
1/22/08 - Global Crash Unnerves Fed, Interest Rates will Plunge
4/24/08- European Central Bank Cooperation to Maintain Dollar's Strength
At first, in January, the European Central Bank was intransigent to a unified global rate cut strategy. Now, CNBC among other business newswires reveals that the Central Banks did cooperate in strengthening the dollar in the wake of the Bear Stearns crisis March 15-16. The impact of the cooperation was finally evidenced by the dollar's recent rise as investors perceived the Europe's economy slowing and the US economy eluding recession.
The news is comforting because it points to the fact that indeed, there is global cooperation despite the political conflicts - US/Russia, US/Iran, Israel/Iran - that seem to keep threatening global stability.
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