See No Asset Bubbles … Hear No Asset Bubbles … Speak No Warnings About Asset Bubbles

Ever see one of those “See no evil, hear no evil, speak no evil” statues or pictures? The ones with the three monkeys, one covering his eyes, one covering his ears, and one covering his mouth? That’s pretty much what the Federal Reserve appears to be doing now when it comes to the asset markets …  Stocks up 67 percent from their lows? No worries.  Junk bonds up 52 percent this year — the biggest increase in the history of the high-yield debt market, even as default rates are hitting their highest levels since the Great Depression? That’s cool, too. The Fed seems…