Yesterday the stock market soared 500 points higher after a coordinated global central bank easing move was announced. The plan reduced "swap line" borrowing costs for US dollars in exchange for foreign currencies. This opens a back door for the Fed to begin helping with the foreign sovereign debt bailouts as they face a liquidity crunch.
Bernanke has once again stepped in as the global printer of first and last resort. The only question is, does he have the power to hold up the world as the deflationary deleveraging continues to cascade down around him?