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To: Zardoz who wrote (66334)3/21/2001 10:38:31 AM
From: Rarebird  Read Replies (1) | Respond to of 116770
 
First, the statements by the Fed enable the possibility of an additional easing of interest rates between now and the next meeting on May 15. If the markets continue to deteriorate this is a real possibility. Second, weakness in investing was mentioned several times in the Fed's statements. This indicates that an economic slow-down could be longer than anticipated and also points toward significant interest rate cuts in order to spur investment.

According to my analysis of the Fed notes the "... transitory factors such as energy and inventory adjustment received less weight in this statement than in previous statements". I believe that the language was similar to language in December that telegraphed an inter-meeting move in early January. I am looking for a relief rally today.

<USA is based on the mighty dollar seeking returns.>

Yes, but foreigners have been big sellers of equities. Rallies will be sold IMO till growth resumes. The outlook there is cloudy at best.



To: Zardoz who wrote (66334)3/21/2001 10:38:58 AM
From: The Vet  Read Replies (1) | Respond to of 116770
 
<The rest of the world is a passive wasteland> Very true Hutch but the mighty US dollar has dominated, making Greenspan the king of the world. You can't really blame anyone outside the US for this situation any more than you can put the blame for slavery on the slaves...



To: Zardoz who wrote (66334)3/21/2001 11:32:33 AM
From: Tom M  Respond to of 116770
 
"...call the rise from 2300 to 5K as stupidity engrossed in Euphoria" - I posted when the fed had the surprise rate lowering just before options expiration, that they may have just engineered the biggest short squeeze in history. Ah, engineering made to look like stupidity...



To: Zardoz who wrote (66334)3/21/2001 12:24:54 PM
From: teevee  Respond to of 116770
 
hutch,

So how can USA be one of the few that survive in a global economy, "How can Japan, Europe, and latin countries survive? Where is the cash going to flow to: Zero rates bonds, dislocation inflation, or North America?" USA is based on the mighty dollar seeking returns. The rest of the world is a passive wasteland.

Couldn't agree more....the message is loud and clear and always the same, whether militarily, currencies, economic policy-both domestic and foreign...don't f#*k with uncle sam

On another investment related manner, it takes one heck of a lot of energy to keep the american machine moving. What do you think the odds are that President Bush will push through approvals for the Alaska gas pipeline?