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Pastimes : Discussion Thread -- Ignore unavailable to you. Want to Upgrade?


To: DMaA who wrote (1430)8/8/2008 10:08:20 AM
From: c.hinton  Read Replies (1) | Respond to of 3816
 
certainly there are other mechanisms...but the mere fact that people tend to concentrate their attention on interest rates makes those rates so important to market sentiment.(ps note m3 is no longer made public)

economics is in large part an exercise in psycology......thats where economists and bankers go wrong....2 plus 2 can for practical purposes equal 5 if enough people believe it does.....ask any stock analist.g,ng

ingrained market psycology can be hard to change ....you have heard the term "pushing on a string"have you not......but,when it does change it can easily swing to extremes.



To: DMaA who wrote (1430)8/8/2008 10:16:01 AM
From: c.hinton  Respond to of 3816
 
let me add that, in america investors tend to be unaware of the how policies and economies of our trading partners can effect us.......the greater the trade the greater the effect.

if your best client stops buying what happens to your bottom line?

if your financier stops financing what happens to you business?