Kass: Fed Is No Savior in Subprime Slide

This column by Doug Kass was originally published on March 15 at 8:17 a.m. EDT on Street Insight. It's being republished as a bonus for TheStreet.com and RealMoney.com readers. For more information about subscribing to Street Insight, please click here.

Bullish observers have increasingly been making the case that the growing fungus of subprime credit problems will force the Federal Reserve into a loosening of monetary conditions sooner rather than later.

These days, the private-equity put doesn't seem to be working, so it appears that the struggling bulls now must hold on to the notion of a Bernanke put to counter the currently troubling and tenuous stock market conditions.

After all, lower interest rates always reverse investor sentiment and adverse financial conditions, right? ...