SI
SI
discoversearch

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 : Piffer OT - And Other Assorted Nuts -- Ignore unavailable to you. Want to Upgrade?


To: Augustus Gloop who wrote (32101)5/7/2000 12:45:00 AM
From: Gary Walker  Read Replies (2) | Respond to of 63513
 
How will markets react to only a 25 point rise?

I heard that 50 point logic on Friday from DLJ. I also heard William Seidman predict 25 points.

AG wants a market/economy "pause." He won't get it without surprising the market. A 50 point rise in both the Fed Funds and the discount will send a strong message. Any rally in this situation could be short. Higher rates will eventually reduce the attractiveness of equities by raising alternative investment yields and reducing corporte profits and cash flow the real "stuffing" of valuations.

gw