Dear Crossy - I agree that there should be another cut before the year is over; however, despite the real interest rates [by any measure,] I suspect Chairman Greenspan and the Fed will attempt to save the ammunition for rainy days and will not squander the fortune easily. While it is not the Fed's mandate to support the market <g>, market liquidations are a major part of the decision process [and rightly so.]
Yes, UK looks a lot better than the continental Europe. However, just as President Clinton is a Democrat and PM Tony Blair is the head of the Labour Party, I am beginning to suspect the current cache of social-democrats in continental Europe will follow suit, i.e., even if they are more socialistic, they will become more pragmatic and fiscal responsible. This is the nature of globalisation. If they don't modernise their resume, they fall behind [btw, personally, by nature I am more a democratic/labor oriented person, but I can see the benefits of check and balance, and prefer moderations against abuses of the extremes.]
best, Bosco |
