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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: marcos who wrote (9267)	11/6/1997 7:01:00 PM
From: bearshark	Read Replies (1) \| Respond to of 94695

Marcos: I can identify at least two variables that I would consider. First is the cause that has the potential to affect the market. Any of the 10 mentioned sure could. Second, and probably more important than the first, is how the investing public views the cause. Here is a potential scenario. I think the Fed wants to raise interest rates next Tuesday. As of now, there is not a lot of concern about that. Investors do not believe it will happen because of the monetary problems in the world. However if investors sleepwalk into next Tuesday and the Fed does raise the discount rate, I would expect a swift downturn in the market due to their reaction to an unexpected cause.