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


To: Crimson Ghost who wrote (70518)2/26/2001 3:31:51 PM
From: bobby beara  Read Replies (1) | Respond to of 99985
 
george, yes the gold shorts are highly ambitious, with 13% bulls and short interest as big as the sept 99 low, time to lite this candle -lol-



To: Crimson Ghost who wrote (70518)2/26/2001 3:36:48 PM
From: Tunica Albuginea  Read Replies (1) | Respond to of 99985
 
It is interesting that after 2 rate cuts, the Market went lower.
What does that say about the success of the next one?

I don't remember reading about this before .

May be the market is looking at future market needs.
Maybe 3 rate cuts are unable to dig this
Market out of it's hole.
Possibely there is no inflation now ( though PPI & CPI hint there is ).
But let us assume there isn't according to POGold.
Why then isn't market moving?

My opinion:
They are looking at these f u t u r e costs.
Health up 8 - 10% and possibly heading to old 17 - 18% inflation in '93 - '97.

wmmercer.com

Taken from

wmmercer.com

Data shows that market boom from 1993 to 1997 was clearly
due in part to artificially low health prices.
Low energy prices contributed to false sense. As well as CA shielding it's citizens by robbing from Utilities.
Those are gone and moving higher.

Rate cuts will not influence that.May actually worsen it.
More inflation.

If 50 BP is priced in for March, what do we do for an encore? And when?


The only thing that might improve outlook is Bush's budget and tax cuts.
Those move very slowly.If Dems have their way we may not even have one,

TA