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.

Pastimes : FED TALK -- Ignore unavailable to you. Want to Upgrade?

To: Jeff Jordan who wrote (29)	12/15/2000 8:17:55 PM
From: GROUND ZERO™	Respond to of 94

I think he might raise if he sees the urgency... he really ought to raise by one half point to start with... if not, then one quarter Tuesday and then another quarter in January..... GZ

To: Jeff Jordan who wrote (29)	12/15/2000 8:26:11 PM
From: Kelvin Taylor	Read Replies (3) \| Respond to of 94

Greenspan raised rates for two reasons: slow the economy BUT also to choke off the market. Remember that he made a statement more than a two years ago the market was about 40% overpriced. The rate hikes have slowed the economy so much now corp. profits are dropping and stock prices have over reacted on the down side. IF only the FED has stopped at one or two rate hikes then the economy would have slow but not to the point of hurting profits. When companies see lower earnings the next measure is to cut cost and labor is the biggest expense. Watch the unemployment rate over the next few months to see if that happens. Hopefully it won't. Rising unemployment, high interest rates and inflation are ingredients of a recession.