The Fed and Weekend At Bernie's

The Fed may be taking a scene right out of Hollywierd. In the movie, Weekend at Bernie's, two guys finally get to go to the bosses vacation home on the beach only to find him dead. Not wanting to miss all of the partying and great times to be had, they decide to prop him up and make everyone think that he was still alive by moving his head, arms, and feet.

Today, the Dow "soared" 410 points amidst financial crises, but why, how? The Fed said in a press release today:

The Federal Open Market Committee has authorized a $180 billion expansion of its temporary reciprocal currency arrangements (swap lines). This increased capacity will be available to provide dollar funding for both term and overnight liquidity operations by the other central banks.

One cannot help but see the Fed and the Treasury Department carrying around a dead market pretending it is alive by injecting BILLIONS of dollars into it hoping no one will notice.

By the way, in the end Bernie was still dead.