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To: Kelvin Taylor who wrote (34344)11/6/2001 7:51:02 PM
From: E.J. Neitz Jr  Respond to of 53068
 
Years ago there was a lot of talk about the Japanese central bank "pushing on a string". Esentially lowering interest rates repeatedly but never seeing an economic turnaround. I wonder how long it will be until he see that worry here. Read a report that the Fed wants to drive dollars out of "safe havens" such as CD's and money funds by makeing the rates painfully low and hopeing that money flows into stocks etc to fuel investment. This is great for traders getting the fast trip up in the market and are nimble enough to get out at some point.
For investors, one must be suspect about doing something the government wants you to do. I'll trade but not use this as a reason to park long term $ in the market. This rationale was the same as the Japanese Central bank used years ago.



To: Kelvin Taylor who wrote (34344)11/6/2001 11:20:01 PM
From: StormRider  Read Replies (1) | Respond to of 53068
 
that's why i was FURIOUS when they still kept the tightening bias in the face of months of rising energy prices and a slowing economy! at that point everything literally came to a SCREECHING HALT!!