Fed rate cut? Don’t count on it — Bernanke is no softie

The US market is pricing in an 80% chance of a rate cut by the Fed next month as a result of the liquidity crisis, but it is likely to be disappointed. Ben Bernanke is a man obsessed with inflation and he will not allow a crisis created by excess leveraged lending and naïve investors to divert him from his tough anti-inflationary course.