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Strategies & Market Trends : MDA - Market Direction Analysis
SPY 670.92+0.1%Nov 7 4:00 PM EST

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To: American Spirit who wrote (52937)6/2/2000 11:24:00 PM
From: pater tenebrarum  Read Replies (3) of 99985
 
AS, i wouldn't say we can already come to firm conclusions as to the Fed's probable moves. imo, if they now hold off on hiking, the economy and the market will re-accelerate right back into overheating mode, and they will be forced to hike even more later.

btw, for the Fed, the absolute level of the NAZ is irrelevant. however, i think they do worry about total market cap, i.e. the Wilshire 5,000 which more or less represents it. since the market is what is fanning the flames of credit demand and consumer spending, Greenspan can reiterate as many times as he wants that he's not targeting the market - he still is doing just that.

regards,

hb
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