Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: GST who wrote (65182)	6/28/1999 4:48:00 PM
From: BGR	Read Replies (1) \| Respond to of 164684

GST, I do not follow TA, I am strictly a FA person. But IMHO in the long run rates reflect one and only one thing, which has nothing to do with charts. It is the balance between supply and demand for credit on one hand and money supply and inflation on the other. Given a constant money supply, if inflation remains a low constant or goes further down but the economy continues to expand and hence lack of balance between supply and demand of credit pushes nominal and hence real interest rates too high, the Central Bank is supposed to adjust money supply growth upward (by buying back Treasuries, for example) to bring the balance back. -BGR. PS: My earlier note got squided, hence merging in with this note.

To: GST who wrote (65182)	6/28/1999 4:57:00 PM
From: Tradegod	Read Replies (1) \| Respond to of 164684

Part of the question with rates is the stock market itself. I believe that Uncle Al is as concerned about the state of the market with respect to valuation and expectations on the part of the average American. The savings rate, %age of assets in the market, degree of speculative fever and so on have to be on his mind. Whether the CPI is up .4 or .5 in a given month is trivial compared to the exposure many Americans have subjected themselves to. Once again, Mr. Market today bailed out many inet speculators just when they were about to hit the puke button. I can't help but wonder what Mr. G. thinks about a 50 point NAZ rally the day before OMC meetings. Today was the 3rd or 4th highest close in NAZ history. This market has shrugged off everything you could throw at it: Rubin resigning, War in Kosovo, Interest rates rising, earnings slow down, etc, etc. Just seems to have the feeling of no fear. People will crow about "It's not the Fed's job to control the stock market" but it could be argued that the market is the economy now!