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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: yard_man who wrote (6423)	1/29/2004 5:17:01 PM
From: mishedlo	Respond to of 110194

Tippet I was out most of the day. I might have bought silver futures on the reversal - who knows. This selloff in treasuries and eurodollars is way overdone. Some real bargains out there IMO if your acct is setup. I added Eurodollars today and walked away. I did not come close to the lows of the day by far, but I see I am up on my add today. Still 3-4 ticks underwater on 3 futures from yesterday. Added 6 futures today, M

To: yard_man who wrote (6423)	1/29/2004 5:18:49 PM
From: mishedlo	Read Replies (1) \| Respond to of 110194

Knee-jerk reaction to Fed misses point HEALDSBURG, Calif. (CBS.MW) -- What we saw in the markets after the release of the statement by the Fed accompanying its decision to hold the Federal Funds rate unchanged at 1 percent is a typical knee-jerk reaction. Bond traders were ready to seize upon almost any "change" in their perception of the financial environment to dump bonds and churn the markets. And stock traders were more than willing to follow their lead. What changed? Four words. Instead of promising to keep rates low for "a considerable period, " the Fed now says that it intends to be "patient" before initiating any changes in interest rates. Patient? What is that supposed to mean? Is it good or bad? Consult Webster's dictionary and you can find reasons to go either way. One of its definitions of "patient" reads as follows: "Bearing or enduring pains with equanimity." That sounds like the sort of thing that dour-faced Alan Greenspan enjoys. But another definition is "Expectant with calmness; persevering." That's the way most investors seem to be approaching the subject, in contrast to the frenzied reactions of bond traders in Chicago. Let's go back to square one. The Fed will continues to concentrate its attention on two variables: inflation and job growth. Depending on what happens in regard to jobs and prices, the Fed will react in one of three possible ways. If both job opportunities and prices begin to steadily increase, the Fed will begin to raise interest rates by the end of this year -- after the election. If neither increases, the Fed will stay on hold indefinitely.....[...] - cbs.marketwatch.com