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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Freedom Fighter who wrote (63039)	6/23/1999 11:37:00 AM
From: Knighty Tin	Read Replies (2) \| Respond to of 132070

Wayne, I think he should be serious, but I don't think he is. He wants to do the 25 basis points and then business as usual. It is obvious that that won't work. The bulls don't take him seriously. So, if he wants to get the economy more balanced, he will have to take more drastic action. I'm not sure he has that much iron in his soul.

To: Freedom Fighter who wrote (63039)	6/24/1999 8:42:00 AM
From: valueminded	Read Replies (1) \| Respond to of 132070

Wayne: Aint gonna happen imo. The FED is already behind the ball.. The three rate cuts to goose the market last fall put it hopelessly behind. AG will try to talk it down, he will use a rate increase to try to bring it down. But bottom line is FED is now chasing the yield curve (bond traders seem to be smarter than the average stock trader) and wont catch it till the market breaks. So look for rising rates, and a rising market until the rates are just too much. After the market break, is when I intend to invest in bonds. But I figure that is going to take much higher rates than 6.25% Maybe 8% or so. Noticed that Ford Financing arm says will wait for a more opportune time to float bonds. My opinion is I dont think so .. As long as they sell cars and cars need financing, and people are happy to buy, they will do the deal. However, it is an indication that as rates increase, bond deals may become fewer and fewer. My understanding right now, is we are at or near record issuance levels. Hardly a presage for a decline in rates.