Twiddling While the World Burns

| Wed Jul. 25, 2012 9:25 AM EDT

Britain is now in its third straight quarter of GDP shrinkage. Spanish bond rates have rocketed past 7.5%. German ministers are talking openly about letting Greece exit the euro. American Republicans are threatening yet another debt ceiling standoff. And the Fed and the ECB are still twiddling their thumbs, "standing ready" to act if they need to.

Can anyone explain this? Anyone?