Stock Attack -- A Complete Analysis Message Board

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Strategies & Market Trends : Stock Attack -- A Complete Analysis

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To: Grandk who wrote (38456)	12/19/2000 5:10:29 PM
From: Peace	Read Replies (1) of 42787

That was a sarcastic question. Obviously the fed doesnt think we are headed to a recession. The economy is slowing but still healthy. Things will look terrible when you go from 5+% growth to 2.5% growth but a 2.5% growth rate is no where near a recession scare. The fed does care about the stock market as it directly translates to consumer spending. Read this statement from their press release - The drag on demand and profits from rising energy costs, as well as eroding consumer confidence, reports of substantial shortfalls in sales and earnings, and stress in some segments of the financial markets suggest that economic growth may be slowing further. After a 50% correction in the naz and profit warning galore, the last thing the fed would worry about is sparking a rally.

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