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To: Lee who wrote (43271)5/19/1998 3:20:00 PM
From: AlanH  Respond to of 176387
 
Lee, **OT**

Indeed, the Notes blip was anticlimactic. It looks less like noise when you compare other instruments. My guess is players had been hedging against the outside possibility of a hike (or guidance).

The troubling thing is that central banks seem to be wedged for the moment. [I know. Philosophically, I should be delighted!] Greenspan's "uncharted territory" address implies that danger must exceed historical milestones in order for monetary action. This is not a game of GDP, PPI, CPI, capacity, etc.

Inre earnings: If an investor has held for 12+ months, then one earnings report becomes a topic of conversation. (There have been extreme negative surprises which inflict long-term damage, but these are rare.) Ironically, 'long term' has become longer for the US Treasury/IRS, shorter for the so called "investor."

Thanks for the resh on the TIME article.

Cheers,
Alan