here's kevin depew of "minyanville" and "minyanville's" kevin depew. >> federal reserve chairman ben bernanke was on capitol hill earlier this week, mainly to discuss the economy, but also to stop a misguided legislative proposal from texas representative ron paul to audit the central bank. here's the thing, the fed isn't some secretive, nefarious organization. it's already audited. its balance sheet is published every week. and market watchers pore over the minutes of every fed meeting. so what bernanke rightly opposes is congressional medaling in monetary policy. it is critical for the fed to maintain its independence, far away from politicians. >> in order to understand why the federal reserve is so opposed to transparency, you have to go back and consider what gives the fed its power in the first place. if someone offers to give you a weird piece of paper for your watch, you'd probably laugh. but if hundreds of millions people are somehow convinced to accept that weird paper, well, then it's game on. the authority of the federal reserve basically exists because it exists, and any

here's kevin depew of "minyanville" and "minyanville's" kevin depew. >> c.i.t. group, one of the nations largest commercial lenders, is on the brink of failure after being unable to secure additional government backing. the obvious question is why isn't c.i.t., with more than a million small business customers, too big to fail? well, the lesson in all of this is you can save one bank, or as many as 10, even 20, but inevitably there will come a point when the lifeline just won't reach any farther, and that's what's happened to c.i.t. it's unfortunate, but not every bank can be too big to fail. >> no, no, that's not the lesson at all. let's get something straight. on one side you have a firm like goldman sachs where executives sold $700 billion worth of stock even as they were taking in $10 billion in tarp money; on the other side the small business lender c.i.t., which needed just $4 billion to keep the doors open. one firm, thanks to a little government help, just posted the richest quarterly profit in its 140-year history, the other is now doomed to failure. do

here's kevin depew of minyanville and minyanville's kevin depew. >> there's an old saying on wall streetits not the price, its the volatility. which is true, especially when we are talking about things like crude oil. high prices for oil depress consumer spending, but even worse than high prices is volatility. over the past two years, oil has risen by $80 a barrel and fallen by more than a $100 a barrel before doubling to its current level. such volatility, caused by speculators, not real demand, damages both consumers and producers. the answer is simple: increase government supervision of and restrictions on speculative trading in oil. >> incredible. even after last years failed attempt to curb oil speculation, the bureaucrats are at it again, seeking to impose limits or possibly outright ban it. this kind of misguided populism sounds great: who wants to defend a bunch of greedy commodities traders? but the reality is that speculators serve an important function by increasing liquidity and making it easier for end users to hedge against higher, or in some cases, lower prices. because th

here's kevin depew of minyanville and minyanville's kevin depew. >> despite the news this week that inventories of new homes plunged to a three-year low, and evidence of price stabilization from the case-shiller home price index, the level of negativity about the economy is as great as its ever been. these days, no good datapoint goes unpunished by the mainstream media. stocks, however, are telling a different story. the market is up 8% this year. are we still in a bear market? look at it this way: since 1997 stocks, excluding dividends, have shown no net gain. how much more of a bear market do you want? >> the point is well taken, 12 years of virtually no capital appreciation in stocks is a pretty good bear market, almost as good as the 15-year period between 1965 and 1980 when stocks were largely flat. it's true, home prices aren't going to go to zero. but here's the elephant in the room: debt, the accumulation of it, and then the repayment of it, drive every economic cycle. and while the past 12 years were about debt accumulation, this cycle is about repayment. how much more of a bear market

here's kev depew of "minyanville" d "minyanvil's" kevin depew. >> federal resve chairman ben bernanke was on catol hill earliethis week, mainly to discuss the econy, but also to stop a misguided legistive proposal from xas representative ronaul to audit the central bank. here's the thi, the fed isn't some secreti, nefarious orgazation. it's already audit. its balae sheet is published every week. and maet watchers pore over the minutes of every fed meeting. so what bernanke rigly opposes is congrsional medaling in monetary policy. is critical for the fed to maintaints independence, far away fropoliticians. >> in order to understand wh the federal reserve so oppod to transparency, you have to go back and coider what gives t fed its power in the first place. if someo offers to give you a weird piece of paper forour watch, y'd probably laugh. but if hundrs of millions people are sehow convinced to cept that weird paper, well, then it's game on. the auority of the federal resee basically exists because exists, and any threat to i undermes the weird circular logic eping the confidence game

here's kevin dew of minyanvilland minyanville's kevin depew. >> there an old saying on wall street, itsot the pric its the volatili. which is true,specially when were talking about things like crude oil. high prices for oil depres consumer spendg, but even woe than high prices is volatility. over theast two years, oil has risen by $80 a barrel d fallen by me than a $100 a barrel before doubling to its crent level. such volatility, caused speculators, noteal demand, damas both consumers and producers. the answer is simple: crease government supervision of an restrictions on eculative tradinin oil. >> incredie. en after last years failed attempt to cb oil speculation, thbureaucrats are at it again, seeking to impose limitsr possibly outrit ban it. this kind of misguided popism sounds great: whwants to defend aunch of greedy coodities traders? t the reality is that speculators serve an imptant function by increasing liqdity and making it easieror end users to hedge against hher, or in some ces, lower prices. becausthis has been tried countless times before, the consequences of inteention i