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Strategies & Market Trends : MDA - Market Direction Analysis
SPY 683.83+0.3%4:00 PM EST

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To: t2 who wrote (78826)6/17/2001 9:32:33 PM
From: mishedlo  Read Replies (3) of 99985
 
NV - Does it really matter one iota if the FED cuts .5 vs .75 vs .25

1) Hell .75 might scare the crap out of the market if anything.
2) Greenspan can not cut forever - The long bond knows it, mortgage rates know it, everyone should know it
3) Consumers are nearly tapped out, if housing slows, or the $ sinks, or retail jumps off the cliff it is all over but the final panic (most likely next year but not necessarily so).

As for now all this focus on .25 vs .50 is silly. The Naz is below the last rate cut already. Hell it is below the last 4 rate cuts. What is special about this one besides NOTHING! If greenspan had any brains he would do nothing as the market is going down anyway. May as well save his ammo for later this year when it might do some good.

M
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