Mr. Ben Bernanke getting renominated is yet another major blow to the long term health of the US economy. The Federal Reserve's policies since Mr. Greenspan was nominated have inflated bubbles through monetary policy manipulation. Each time the bubble bursts with significant impact.
There where bubbles blown in the 80's and 90's, each one adding to the slush fund of financial corporations, with the first major blow off in 2000 with the Tech hype boom bust. That followed with the real estate boom and bust. The next bubble I suspect will be US Bonds/currency valuations. If I am correct, the bust of that will wipe out the US dominance as financial leader. As much as I don't want this to happen, the recklessness with monetary policy, deficit spending, and lack of law enforcement has brought this moment onto ourselves.
The way this plays out maybe months or years. Assuming it will come to a final pop over years, it will be hard for people to connect the dots on how we arrived at the end-game.
I am attempting to mark each event with a label on this blog, Financial Ground Zero. Of course at the time of the pop the last straw will get the entire blame for the pop, but nothing in life is that simple. If there is a huge crisis in the US bond and currencies, make no mistake, it took years, if not decades to make it happen.
And boy, do I hope I am wrong, misunderstanding the big picture. In the near term, anything is possible for the various asset valuations across the wide variety of investment options with Mr. Bernanke getting reconfirmed.