To: DOUG H who wrote (29090 ) 8/11/1999 4:23:00 AM From: Crystal ball Read Replies (1) | Respond to
Use logic. The "numbers" are always already in the "Price" when released. Need to look and reason that Greenspan put himself in a box, a bad box to be sure because we are all in the same box making a lot of noise that he just can't stand. Politically he can't. Politics (and the Fed IS) is just a shadow of economics. I am not advocating looking directly into the sun to see where it goes, you'll just get blinded that way, but we know the way the market goes, the way the market works, and the market is never wrong. The lows have been tested, thrice is technically (technician/chart guys) a sign of the bottom or absolute support level. Once that is reached (absent war or famine) the US economy always turns a profit, and markets therefore always have rallied and gone up, techs and internets more so. You don't raise interest rates to throw weak starting or expanding businesses into a layoff or downsizer...when there is already a supposed job market crunch (labor shortage)...they just get hired back, maybe at a bigger company (if the smaller one is wiped out). Who does that help? It only cuts governement revenues, creates unemployment, cuts consumption, FOR A SHORT TIME. You need to increase the labor supply to have the effect greenspan wants, and since we have child labor laws in the US, you can only increase our labor supply by throwing the jobs oversees to asia for a business cycle or two so they can pay off their bank bail out IMF loan, Europe (Where they never come back here), or maybe Mexico NAFTA.
