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Strategies & Market Trends : The New Economy and its Winners

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To: Mark Fowler who wrote (4136)12/18/2000 2:39:05 AM
From: 16yearcycle  Read Replies (1) of 57684
 
If they ease, than the bear is over. We won't go straight up, but the bottom will be in. I would be very aggressive if they loosen. I would pick sdli as my number one performer for the next 30 days.

I don't think they will ease.

It defies political correctness that the fed eases on Tuesday after Alan meets Bush on Monday. What a slap at the Dems. I will be amazed. I WANT TO BE AMAZED at 11:30 am PST on Tuesday.

This article is great news and suggests the fed is getting it:

By DAVID WESSEL
Staff Reporter of THE WALL STREET JOURNAL

WASHINGTON -- The U.S. economy has slowed so rapidly that Federal Reserve officials are contemplating a more aggressive response Tuesday than financial markets anticipate. They could issue an explicit statement that the risks of recession now exceed those of inflation, or they even may cut interest rates.

Public comments by Federal Reserve Chairman Alan Greenspan and others have led most to expect the Fed's policy committee to abandon the Nov. 15 stance that the "risks continue to be weighted mainly toward conditions that may generate heightened inflation" and start cutting rates early next year.


But Fed insiders say there is discussion of doing more, though there is no firm consensus yet. Both private and Fed-staff forecasts have been marked down during the past several months, and there is some concern inside the Fed that the economy's momentum is slowing more rapidly than desired. Incoming data are mixed, but many companies have reported a surprisingly abrupt drop in sales and orders, and consumer confidence has fallen sharply.
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