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To: patron_anejo_por_favor who wrote (111178)	7/3/2001 4:08:04 PM
From: Shack	Read Replies (2) \| Respond to of 436258

I don't get that guy, he correctly talks of the ineffectual Fed rate cuts due to more systematic demand problems yet then goes on about the Fed needing to cut deeper??? It looks like everyone is out of ideas.

To: patron_anejo_por_favor who wrote (111178)	7/4/2001 11:37:43 AM
From: Bull RidaH	Read Replies (4) \| Respond to of 436258

No matter reality, Lower rates make stocks APPEAR more valuable when looked at through Wall Street Valuation models & formulas. So the .25 point cut was a huge disappointment to the hopeful bulls on the street. The reaction we've seen since the surprise disappointment last Wednesday is the exact mirror image of the reaction seen after the 1/3/01 surprise .5 cut, where we saw a rally on the day of the cut, followed by a 3 DAY HEADFAKE sell-off, which was then followed by the substantial rally into the end of January. In the present case, we had a sell-off on the day of the cut, followed by a 3 DAY HEADFAKE rally into Monday's highs, followed by a near 3% decline on the Nasdaq & nearly 1% on SPX, NYA & INDU in yesterday's session, the first day after the peak. So let's call their bluff. The bulls were deeply wounded by the negative (for them) surprise only .25 cut, and a steer slaughter & bear feast is forthcoming. Hor D'euvres are on the table. Q'est que tu boirez? -g-