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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Pitera who wrote (12806)	9/27/2011 2:12:09 AM
From: John Pitera	1 Recommendation Respond to of 33421

Here is a long term Fed Funds charts if you assidously study this chart yo will see the big dip in 1979, although Marcia Stigman's book on the Money Markets first publishec in the early 1980's had more accurate charts..... I have a copy of it in a storage unit...... not sure how everyone collects so much stuff. John probably the most accurate chart so the one of the many take aways of this is that we are as Tom D commented in radicallly unchartered waters. you know that if the bank could borrow 3 month money at 1% and stick it in 5% 10 year notes, you get a 4% positive funding profit and it gives the banks time to make money and profits the old fashioned way. now we have the FED Desperately flattening the overall yield curve that hurts the banks from making money in their historically bread and butter business.... that's having a positive yield curve with a nice rising slope. who knows what is going on now. John