Stocks are soaring, China's delivering the best performance in a month, and oil has even displayed a glimmer of hope by notching slightly higher at US$31.60.

This is precisely the response anticipated at MidasLetter mere days ago, with the notable distinction that Ms. Yellin has yet to launch her own capitulation to the downward spiral we are yet engulfed in. But don't worry. As Mario's and China's fresh volleys of ersatz value evaporate into fairy dust, and world markets resume the mass deflation that is a response to the global collapse in core aggregate demand, Janet will print.

As stated repeatedly since 2010, the only ameliorative effect of Quantitative Easing, which is essentially the replacement of real aggregate demand with synthetic demand driven by synthetic liquidity. In short, and I do believe a resumption of the chaos of the past weeks will prove the point, the ability of such Central Bank 'tools' to effect lasting market exuberance is now past.