What "Lessons" Will Be Learned From Today?

Some, sadly including some self proclaimed "liberals," insist that today 'proved [S&P] f*cking right!' This despite the fact the US Treasuries hit 2 year yield lows. I prefer, via Atrios, the lessons from Brad DeLong: Stock market down 17% in two and half weeks while the bond market has reduced the yield on the Ten-Year Treasury from 3% to 2.35%, and break-even five-year inflation has fallen from 2.1% to 1.7%. I think that is a very loud wake-up call for Mr. Obama–that it is long past time for him to stop talking about how surrendering to Republicans on long-run spending priorities will bring the confidence fairy who will then gift us with a strong recovery and start actually doing his job. Yep. See also Krugman. Speaking for me only

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