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.

Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Ken98 who wrote (25053)	9/7/1999 7:31:00 PM
From: pater tenebrarum	Read Replies (2) \| Respond to of 99985

Ken, interestingly, the market tends to attach more significance to lagging indicators such as PPI,CPI and the jobs data, possibly because it 'wants' to hear good news, or needs excuses to go higher. the way PPI and CPI are calculated inherently contains a bias for understatement - after the governments statistics minions were criticized for years for overstating inflation, they apparently fixed the problem so thoroughly that they now understate it. every scrap of anecdotal evidence as well as the forward looking indicators contradict the rosy picture painted by CPI and PPI. the market has ignored the trade deficit for a long time, since it has become used to it's steady expansion. however, it has now graduated from steady expansion to incredible explosion and will merit a lot more attention in the future, of that i am certain. regards, hb