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Strategies & Market Trends : Ask DrBob
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To: iowamann, Spam Queen who wrote (33374)5/11/2001 4:02:24 PM
From: kleht  Read Replies (1) of 100058
 
Iowamann: Rate cut? I think .25% and a short-term drop. I agree with lvl at post 33437 that such an outcome could lead to a nice summer rally. The rally of the past month really needed a rest. Too many turned bullish to quickly. A little more fear here might do the market some good. I think, though, that the drops in interest rates are creating something of an artificial bull move (such as when foreign governments pump up their stock markets). It's one reason why I'm somewhat skeptical about a recession at this time. I still feel we will get a dump this fall. Possibly because Big Al may overdo the cuts and then have to raise them next year. Then, maybe a recession could become a reality? I don't think the tax cuts are going to have much near-term effect.

Just speculation.
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