4 replies to this topic

[zedor]

1. They should be -- Cramer was right in his recent rant (for once)

2. Do what I do not what I say

3. Deliberate disinformation in an attempt to calm the markets

If 1 then they are setting up to be the Hoover FED and the market should panic

If 2 or 3 then the market should panic

So, whichever way one looks at it its lose lose. The virtous cycle of up has been broken and we are now in the whatever they do is bad cycle and at the start of it at that.
Normally people dont say they are not panicked except when there is a panicky stituation.

Wall St. still enjoying Fed bounce

5:11am: U.S. stocks set to keep rising after central bank indicates it isn't panicked about problems in the credit markets.

http://money.cnn.com...sion=2007080805

Edited by zedor, 08 August 2007 - 04:48 AM.

[OEXCHAOS]

I can only say that the Fed is acting the way any governmental body will act when there's a crisis brewing. "Stay calm! There's nothing to worry about!" It has nothing to do with anything that they are doing or are preparing to do. Watch the interest rate futures. They'll telegraph the next cut, which is coming fairly soon, in my opinion. They just need a little more cover but no market panic--they can't be seen to be creating a moral hazard. Mark

[ogm]

And interestingly, this has calmed the market for the time being. Real estate stuff went up, ABX-BBB finaly turned, and so on. Someone on Bloomberg said something to that regard yesterday, that if the Fed would've cut or in other way paniced it would've been much worse for the markets. This statement had a calming affect. Now as long as there will not a be another huge wave of corporate implosions we should be allright here. And there is plenty of fear built up and plenty of people short to push this market up for a while.

[OEXCHAOS]

Honestly, I think we push higher only until the shorts get covered up. Breadth remains sucky. Of course, some issues are explosive, so clearly there's money that wants to buy in addition to shorts who want to cover. It's too early to be Bearish and late to be too bullish. Though I'm thinking that RE is about to pop nicely. I'm hoping that NRO doesn't move too far, too fast, because then I'll have to let it go and look for something else. Mark

[ogm]

Honestly, I think we push higher only until the shorts get covered up. Breadth remains sucky. Of course, some issues are explosive, so clearly there's money that wants to buy in addition to shorts who want to cover. It's too early to be Bearish and late to be too bullish.

Though I'm thinking that RE is about to pop nicely. I'm hoping that NRO doesn't move too far, too fast, because then I'll have to let it go and look for something else.

Mark

There is plenty of shorts to cover, though

I'll probably keep NRO and NRI for a while, provided the world isn't going to fall apart. Can be a decent long term income hold. Agree, though that if it bounces too high, not going to be worth it.

I'm thinking of buying more RAS here.. high risk play, but this thing can bounce huge when they declare dividend for the quarter. ( keep in mind dividend next quarter will be probably cut in half) Insiders loaded up in the past couple days too. CEO bought 100k shares, so I'm guessing they aren't planning on declaring BK. And there is probably tonns of shorts in it.

Edited by ogm, 08 August 2007 - 07:04 AM.