"So maybe its time for a new version of the old regime at the Fed. That is, for the Eccles Building to eschew interest rate-pegging and ZIRP entirely, and thereby allow financial markets to once again engage in honest price discovery and two-way trading; and to allow the natural business cycle to meander along its own capitalist path as determined not by the 12 members of the monetary politburo, but the 317 million consumers, producers, investors, entrepreneurs and even speculators who comprise the real main street economy."
"[One should] question the current consensus that all reflationary medicine is good for the owners of capital," writes Napier. "The faith among capitalists that activist authorities can only make them wealthier seems bizarre, as there is little in the historical record to associate government action with higher valuations and returns. In a world where QE does not inflate away debts and government activism is the next remedy, equity valuations have a long way to fall."