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Technology Stocks : Dell Technologies Inc.
DELL 133.78-0.1%Nov 14 9:30 AM EST

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To: D.J.Smyth who wrote (65914)9/17/1998 11:18:00 AM
From: Lee  Read Replies (1) of 176387
 
Darrell,..Re: in Greenspan speech yesterday he stated that Fed had
abandoned its upward bias toward rates


You are correct. In August, it seems that the FOMC abandoned the tightening bias and went to neutral. The first hint of this was in AG's Sept. 4th address at U CAL. The second hint was yesterday.

Prior to the market sell-off, I would have bet money that the Fed would not lower rates until DOMESTIC eco numbers definitely showed weakness, but global political pressures are being exerted now. And the fact remains that during the market crisis in '87, the Fed did step in to provide liquidity both in the form of cash and a rate cut.

In case anyone is interested in the numbers, following are CPI and trade balance numbers and analysis. Notice the CPI may have put in a bottom a couple of months back.

dismal.com
CPI

dismal.com
CPI Analysis - ex Food & Energy up 2.5% yr/yr

dismal.com
Trade Balance

dismal.com
Trade Balance Analysis - Numbers while dollar still high.

Will post links to the actual BLS CPI report if anyone is interested.
Although, many in the media claim the economy is slowing, it's not readily apparent in the numbers yet.

Also, the Shadow Open Market Committee is still calling for a rate INCREASE. Will post that story if anyone interested.

Regards,

Lee
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