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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (59710)	5/19/1999 12:17:00 PM
From: valueminded	Read Replies (1) \| Respond to of 132070

Mike The FED achieved (temporarily imo) what they were after. A reduction in long term rates via some jawboning to the market. I would imagine that most would see through this especially after our cpi starts to move upwards as the change in energy gets felt in the price of the chemical industry. Since we continue (oops another coupon pass today) to expand the money supply I can not see how anyone would feel that rates are going down. Dollar bills (as opposed to gold, silver, oil, wheat etc) must be the only commodity that has an inverted demand supply curve, ie the more the supply, the more it is worth. Cant see the end but it would seem that higher interest rates will be in the offing... Your thoughts please. Also, what do you think of the recovery of the chip equipment makers whilst dram pricing is making new lows... A bit premature perhaps ?