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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: GraceZ who wrote (5717)	12/10/2002 3:00:39 PM
From: ahhaha	Respond to of 24758

Excellent response. Better than most university professors could supply. Too bad those who read it can't understand what you mean. You have the key to proper assessment of monetary policy and all they have is Rick Santelli.

To: GraceZ who wrote (5717)	12/10/2002 3:20:51 PM
From: Jorj X Mckie	Read Replies (3) \| Respond to of 24758

Why do you assume that interfering with the equities market directly is necessary to fit the definition of influencing the market? I believe that the fed money policy was instrumental in the creation of the late 90s bubble. More directly, I believe that there was a causal relationship between the fed money policy and equity prices, whether intended or unintended. In the past several years, Greenspan has made several direct statements regarding the equity markets. You stated in your response After 911 the Fed came out and stated that they would provide whatever liquidity that was needed to stabilize the markets and avert a panic. After 911 the Fed came out and stated that they would provide whatever liquidity that was needed to stabilize the markets and avert a panic. . This indicates to me that you understand that the Fed can influence the direction of the equity market. And since the FOMC does operate through banks and brokerages that are assigned as primary dealers by the FRB, doesn't it make sense that these activities can have a secondary result that effects the equities market in what appears to be a concerted effort? Do you think that that secondary effect on the equity market is ever intended by the FRB?

To: GraceZ who wrote (5717)	12/10/2002 4:33:31 PM
From: DMaA	Read Replies (1) \| Respond to of 24758

Providing liquidity and managing the money supply are what it was chartered to do. Since Humphrey-Hawkins, managing the economy to provide full employment is part of their charter too. I have read opinions that this bill is the source of much of the Fed's destructive policy. Your opinion? Humphrey-Hawkins Act of 1978, stipulated that the general objectives of economic policy, including monetary policy, should be "full employment, balanced growth...and reasonable price stability."