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Strategies & Market Trends : Stock Attack -- A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Lee Lichterman III who wrote (41030)	1/17/2001 7:56:58 AM
From: Square_Dealings	Read Replies (1) \| Respond to of 42787

Lee You are right that this rally is being financed once again by record margin debt. We hovering back to the highs in margin debt levels (since 1999). This is a Fed sponsored attempt to turn the market with record margin debt. People went out and refinanced overpriced homes on that 50bp rate cut so we are ready to rock and roll as long as everything is perfect from here on out, lol. At some point the artificial support for paper assets is going to fall, but evidently not as long as the money printing presses are working overtime. Another divergence from rationality is that oil prices have been falling in anticipation of an OPEC cut to be announced today. Natural gas prices have also magically come down right at peak demand season. How does that work? If the economy is turning here then energy demand is going to go up not down. Whenever the banks get in trouble ala the CA utility debt crisis, we just borrow more money and everything is fine <g>. The Fed is using Stockcharts.com to paint the tape, knowing that the chart following public will jump back in once the chart looks good, regardless of the fundamentals. M.