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

To: Freedom Fighter who wrote (69262)	10/19/1999 10:11:00 AM
From: Les H	Read Replies (1) \| Respond to of 132070

US TSYS PUSH HIGHER ON IN-LINE CPI, BUT TRADING IS CHOPPY CHICAGO (MktNews) - U.S. Treasury prices pushed higher Tuesday morning, bolstered by an in-line September consumer price index report, but trading has been extremely choppy in dealer-led two-way trade as traders debate their next move. U.S. September CPI was reported up 0.4%, with the "core" rate excluding volatile food and energy up 0.3%, both squarely in line with market expectations. Economists said gains in key elements of the core CPI were less severe than gains in the PPI, including those in tobacco and new cars. The "core" also was held down by recreation costs, which were off 0.5%, and communication, down 0.3% due to a decline in computer prices, telephone services and airfare. In addition, September real earnings were down 0.4%. Adding to underlying bids in Treasuries was U.S. September housing starts, reported down 3.2% to a 1.618 million rate compared with an expected 1.630 million. Despite the decline, third-quarter starts still posted a cumulative gain of 2.4% vs. the second quarter. Although prices upticked on the 8:30 a.m. data in which one trader termed a "relief pop," dealers used the gains as an opportunity to sell. Treasury bond futures briefly entered into fast-market conditions on the way up, then a U.S. banking firm hit the market, selling 3,000 contracts, while a New York dealer sold an estimated 2,000 near the morning's highs. Later, in cash, talk circulated that an oil money account was hitting the Street, selling cash five-years, traders said. An international hedge fund also was reportedly selling five-years after the data. Bill Quan, an economist at Aubrey Lanston in New York, said on a net basis the CPI does not change his view that the Federal Open Market Committee will tighten U.S. interest rates at their next meeting on Nov. 16. He pointed out on a year-to-date basis, 1999 CPI is up 2.7% vs. 1.6% in 1998, with the "core" up 1.9% year-to-date vs. 2.4% last year. Other traders pointed out that market players are still eyeing stocks closely, with the market likely to prove a mirror image to equities Tuesday. Dec S&P 500 futures rallied in Globex electronic trading after the data release, but traders still expect a stock market sell-off to materialize soon. The traders point out Tuesday is the 55th day since the Dow Jones Industrial Average hit its all-time high of 11,326 on Aug. 25, 1999, and point out that the 1929 stock crash in the Dow occurred on the 55th day after it set a record that year. They also note the stock market crash of October 1987 came 55 days after it set a new record. Eerie isn't it? Later Tuesday, at 10:15 a.m. EDT Cleveland Fed President Jordan speaks at an Atlanta Fed conference in Georgia. Federal Reserve Chairman Alan Greenspan delivers an address via video to the Atlanta Fed conference at 1:00 p.m. EDT. GovPx volume was $9.2 billion at 9:15 a.m. EDT. The yield on the 30-year bond was 6.308% at 9:22 a.m. EDT, compared with 6.312% at 8:22 a.m. EDT.-- Suzanne Cosgrove; Chicago newsroom; 312-341-5936; cosgrove@marketnews.com.

To: Freedom Fighter who wrote (69262)	10/19/1999 10:45:00 AM
From: Knighty Tin	Read Replies (1) \| Respond to of 132070

Wayne, Greenjeans is like one of those gray haired Rock and Roll groups on an oldies tour. They know they can only play one song well, but they get applause when they play it, even if the crowd starts to drift when they do their rendition of "Feelings." <g>

To: Freedom Fighter who wrote (69262)	10/19/1999 9:25:00 PM
From: Tommaso	Read Replies (2) \| Respond to of 132070

If oil prices hold up just wait till the crude hits the fan, to mix figures of speech. Years ago, as a believer in Milton Friedman, I discounted a local attorney's estimation that "inflation is tied to energy prices." But now that the gold standard is largely ignored, what other commodity is there (and a wasting one at that) than oil, to set the values of everything else. Nothing runs without oil. or almost nothing. I guess the Internet is a very fuel-efficient operation--could probably run on solar energy. But not much else. Oil seems headed upward--by jigs and jags--but upward.