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To: Mark S. who wrote (50285)	3/22/2001 4:57:43 PM
From: Sonny McWilliams	Respond to of 77399

I hate to tell you this but some did call for a 1 point rate cut. BTW. I did not accuse the FED solely of killing the economy. They were responsible for part of it by raising rates too high in the first place because of non existent inflation worries and then waiting too long to lower rates. I have been a big fan of A.Greenspan over the years but believe he and his Fed Gov's messed up in the last year. Supplying liquidity for a healthy economy IS the Feds job. The rest comes by itself. It's not our fault they went overboard because of misjudging the millennium hype. Yes, the FED is not here to take care of the stock market but this goes both ways. You can't target the wealth effect and then act like you had nothing to do with the negative wealth effect. I am mostly in techs and own some dot coms. I know that Greenspan last year cited the good of the internet as far as productivity is concerned but then choked the life out of some of those dot coms by raising interest rates too high and then lowering them too slowly. The dot com hype alone did not mess up the economy. Yes, the dot com collapse took a big bite out of the socalled wealth effect but the misjudged millennium hype probably is to blame for a big part of this business slowdown. Cos. and some consumers did stock up for this occasion. After all, things were supposedly hard to come by after midnite 2001. You can't blame cos. for this. They had plenty of help by fear mongers. Anyhow, a 75 bp move would not have made Greenspan and co. look like a put, it would have made them look like being on top of things and not behind the ball. But, as usual, opinions differ. This happens to be mine. Again. I am not blaming the FED alone for this crazy market downturn. They had plenty of help. Worried investors, short sellers and probably a lot of tax selling by investors, who took big cap gains last year and are now facing a big tax bite, have a lot to do with this downturn. Today there was lots of selling by Mutual Funds. Pundits say that this could signal a bottom soon. Maybe the economy will turn around sooner rather than later. Wish, wish I decided to reply to this post instead of the one you sent to me. I could not resist your 1 bp rate cut statement. gg. dailynews.yahoo.com