If you think the financial crisis on Wall Street was big news, just wait...the details of the "secret money funnel" from Washington to Wall Street are just coming out now.

The Fed has spoken. Yesterday, the FOMC gave the market what it wanted: a half-point interest rate cut. This move was widely expected, so I’m putting much significance to the fact that stocks sold off following the announcement.  In fact, I think that’s the most reasonable response given Tuesday’s huge advance. With conditions what they are, I don’t want to see stocks bite off more gains than they can chew. A little time to digest recent events is in everybody’s best interest.

On Monday, in a CNBC Europe interview, Jim Rogers wondered if the US was "...more communist than China." He was referring to the Fed’s bailout of Freddie Mac and Fannie Mae, and to a lesser extent, the bailout of Bear Stearns back in March. "Socialism for the rich" he called it.

In case anyone is curious, the inflation rate for July of 1981 was 10.76%. A year later, Paul Volcker’s rate hikes had slashed inflation to 6.44%. Speaking of Volcker, his name is certainly being tossed around a lot lately. And not just for his endorsement of Presidential candidate Barrack Obama.