You Have Been Warned.......

It's official. You are on your own. There is no "Greenpan Put." Read this story. Federal Reserve board governor Donald Kohn today declared that the Fed "has no intention of preserving all of the recent gains in home price values."

" If real estate prices begin to erode, homeowners should not expect to see all the gains of recent years preserved by monetary policy actions,' Kohn said in a speech prepared for delivery to a European Central Bank forum in Frankfurt, Germany. In his remarks, Kohn attacked the popular 'Greenspan put' theory that Fed policy would always protect investors from sharp asset market drops while doing nothing to restrain these markets when prices. "This argument strikes me as a misreading of history," Kohn said. "Conventional policy as practiced by the Federal Reserve has not insulated investors from downside risk," he said. "

Mr. Kohn is also "wary" of further rate hikes by the Fed in order to "combat" asset bubbles. Did he say "bubbles?" But there is no bubble....

The bell has officially been rung folks.