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Strategies & Market Trends : The Options Box -- Ignore unavailable to you. Want to Upgrade?

To: hobo who wrote (10481)	4/19/2001 7:42:56 AM
From: Poet	Read Replies (4) \| Respond to of 10876

Nasdaq futures are lock limit up and Dow futures have strengthened all morning. And I held no positions overnight. Ah well. Here's a snippet from Hahn's site: The Fed's surprise interest rate cut created an upcrash in the equity markets. In the long run, this monetary stimulus will be ineffective at turning the economy in this post mania climate. But, in the short run, a rally has started that may continue for days or weeks. Greenspan is embarking on a very risky gambit, but he is a student of the two previous post mania markets....the 1989 Nikkei and the 1929 Dow. In both cases, the officials in these situations failed to cut interest rates fast enough to avoid a depression. Greenspan is cutting interest rates (4 x 0.50% in 4 months) at a historically breathtaking rate. Another interest rate cut is expected on May 15. It's unclear if this is enough to offset the adverse economic effects of a post mania economy.