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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club -- Ignore unavailable to you. Want to Upgrade?

To: MrGreenJeans who wrote (1175)	9/23/1998 11:15:00 PM
From: Investor2	Read Replies (1) \| Respond to of 15132

RE: "The Fed should not be trying to save this hedge fund. Let the free market rule." I agree. Best wishes, I2

To: MrGreenJeans who wrote (1175)	9/24/1998 9:35:00 AM
From: Wally Mastroly	Respond to of 15132

Thanks for those last 2 articles. Here's 1 made before Greenspan spoke that I found interesting and perceptive: cnnfn.com Re:"Let me add some months ago Bob Brinker suggested the Federal Reserve would have to cut interest rates, even at the time the Fed had a bias to tighten, and that call is one that is becoming right on the mark.." I was having the exact same recollection while listening to yesterday's Greenspan reports. More evidence that Brinker is, as Truman has said, a market savant. I believe part of Bob's rationale was that the international financial crisis would eventually slow down the U.S. economy. And that, coupled with our low inflation, would prompt the the Fed to lower(not raise) rates. Brinker often says that he does not have a crystal ball, however, on this one he was crystal clear & way ahead of any analyst that I heard during that time. My own guess, for what it's worth, is that Greenspan will wait for more data -including consumer confidence/spending data & wait till the November Fed meeting to lower rates (or maybe start to lower). I agree that the market could "dip" - temporarily (could be our last short term buying opportunity?). However, the Fed could moderate the probable reaction (or perhaps I should say "overreaction") with a message that would assure investors that a rate cut was imminent. I'm not convinced that Greenspan will try to "overrule/strong arm" the other Fed members & lower rates immediately. And as the chairman might say, "on the other hand", perhaps we are ready for another preemptive strike next week? That is, lower rates before we start drifting toward a recession. Along that line, here's another link indicating more urgency for lowering rates: usatoday.com

To: MrGreenJeans who wrote (1175)	9/24/1998 10:26:00 AM
From: Justa Werkenstiff	Read Replies (2) \| Respond to of 15132

MrGreenJeans: Excellent post. Re: " Let me add some months ago Bob Brinker suggested the Federal Reserve would have to cut interest rates, even at the time the Fed had a bias to tighten, and that call is one that is becoming right on the mark." Brinker called for an interest rate reduction a few weeks back for the sake of the economy. He did, however, say last week that the Fed move on September 29th was a tough call but if were a betting man he would bet against Greenspan making a move at least at the September 29th meeting. I expect he will be riding the bull high and mighty this weekend. Greenspan is on the investor's side and you should never bet against the Fed when its actions support the market. It almost always wins in the long run.