SI
SI
discoversearch

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


To: UncleBigs who wrote (63701)6/14/2006 3:26:49 PM
From: Mike Johnston  Read Replies (2) | Respond to of 110194
 
My take on it is that the housing industry, realtors, home builders etc are pleading for the Fed to stop the hikes.
And i think the Fed wants to stop, but they need the excuse.
Hawkish rhetoric deflated the metals and gave dollar a lift. With 10-15% correction in the stock market they would have another excuse to pause.

This theory would also explain the absence of flagpole rallies in the stock market (after the pause the market will rally anyway)

In the interest of national security, the housing market needs to be given some breathing room, even if it means temporarily allowing stocks to go down.



To: UncleBigs who wrote (63701)6/14/2006 3:42:44 PM
From: ild  Respond to of 110194
 
<<<Could this be the options expiration where the put writers start some serious selling to re-hedge their positions?>>>

How/what do they hedge by selling puts?



To: UncleBigs who wrote (63701)6/14/2006 4:02:35 PM
From: russwinter  Read Replies (1) | Respond to of 110194
 
Spread between six month t-bills and five year housing agency bonds is now only 24 basis points, nutty.
rbsgc.com