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Strategies & Market Trends : Want to make $1000 a week trading.....I'm going to try!!! -- Ignore unavailable to you. Want to Upgrade?

To: TraderGreg who wrote (1057)	4/1/1998 9:41:00 AM
From: Mike McFarland	Respond to of 1100

The impression I have always got from the Fed comments you see in the media is that they are always watching for tightness in the labor markets as the fuel for inflation. They have even made comments that there is some natural rate of unemployment which is healthy (as meanspirited toward the American worker as that seems, I am sure that I have heard them say many times "unemplyoment is too low"--of course they couch it in greenspeak babble). Anyhoo, I believe they like a 5.5% unemployment rate and that anything less spurs wage inflation. Now I know there does not seem to be any wage inflation, perhaps due to increased global competition and global DEflationary pressures. But that was not my thought yesterday when the dow was up 100. I'll I could think was "geeze, buyers have balls two hours before the fed news". There is probably quite a lot of global deflationary pressure right now, however, here in the US things seem to be booming--and the Fed does like to close down the party, they will finally this summer I am sure--if only to help cool of the equity markets.