Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: t2 who wrote (83869)	6/3/2003 2:36:59 AM
From: Psycho-Social	Respond to of 99985

Yes, that's a plausible scenario, but leads to two questions: * How has this scenario played out in the past when MM & CD rates declined markedly? * Why hasnt the move out of low yielding alternatives occurred already. Based on some review I did some yrs ago, I seem to recall that the boost to stock prices occurred around the time that 3mo, 6mo & 12 CDs were due to be rolled over to pay interest rates substantially lower than when the prior CD was purchased. Although CD and MM rates are still declining, there have been periods of more rapid rates of declines in prior years than in the past few months. Much of the $ transfer should have already taken place. Do you have any historical studies showing otherwise?