thread: Do Not Yell At Me For Discussing Fundamentals

Ironically, many market pros think Tuesday's widely-watched Fed meeting doesn't really matter for individual investors.

That is the first sensible thing I've read on CNBC in quite a while

This is a massive test for Bernanke - the pressure on him is more powerful than ever... His Inflation Targeting is really a great insight - thanks to the recommendation Merlin - that I really used a bunch of his quotes in my demonion this weekend:


l ?Because of the interaction of extended policy lags and brief political horizons, activist policies can result in worse outcomes than would a policy of restraint?


L ?There isn't any long-run tradeoff between inflation and unemployment. Since inflation inhibits economic growth and efficiency, an increase in inflation can in fact lead to slightly higher unemployment in the procedure.?


L ?A reason for setting price stability as the principal aim of monetary policy is a growing belief that reduced inflation can help to promote economic efficiency and growth in the long run.?

No wonder he's so careful over inflation - reduced interest rates sending USD reduced would hardly help matters.

This is a massive test for Bernanke - that the pressure on him is more powerful than ever... His Inflation Targeting is really a great insight - thanks to the recommendation Merlin - I actually used a bunch of his quotes in my demonion this weekend:


l ?Due to the interaction of long policy lags and brief political histories, activist policies may lead to worse outcomes than would a policy of restraint?


L ?There is no long-run tradeoff between inflation and unemployment. Because inflation inhibits economic growth and efficiency, a rise in inflation may in fact lead to marginally higher unemployment in the process.?


L ?A reason for setting price stability as the primary aim of monetary policy is an increasing belief that low inflation helps to boost economic efficiency and growth in the long run.?

No wonder he is so careful over inflation - reduced interest rates sending USD reduced would hardly help things.

Yes. I am not edued with this in any academic matter, however from what I've read unchecked inflation is far worse than a cycle recession.

I really do wonder what would happen if not even 25bps are trimming ;p

Excitement all done now. Mark calendar Oct 30-31 for next Fed meeting. At the conclusion rate watch came near calling for 50 percent likelihood of a pbs cut and chance of -25 pcs cut.

I was surprised by half a point. Now's reaction didn't.

Question now is how strong/fragile was that this movement from Fed. Bernanke went all-in in my own view. In spite of this cut, if a few more funds/banks restart falling sneakers, Fed will be in a more profound poop than it had been until now...

I truly expect this financial meltdown to dim so we can enjoy less striking trading days....

Further develpments and economic statistics in the coming months will be crucial for the long run, imo.

Yeah half stage suprised the hell out of me too when they took the discount rate with it. I expected bernanke to be more steady possibly things are worse than I bernanke is simpler than I thought or believed.

Oddly, I believed the announcement was fairly hawkish, given the situation.

ouch! You better hope he never reads this LOLOL

I actually dont mind that the never-traded-analysts. . .because the individuals who have traded are all jaded! Something about trading brings out the skeptic in us

Skepticism will appear to come with being a trader - not sure if that is good or bad. Naturally, I wasn't being 'mean' to Liesman - I like to hear from traders versus journalists.

1/2 point of fed funds AND reduction - amazed to say the least. You slice it anyway you like - great for market or what the hell do they view that made them do this?

Exchange the charts in the meantime

1/2 point of funds AND reduction - amazed to say the very least. You slice it anyway you like - great for market or what the heck do they see that made them do so?

Trade the charts in the interim

Aye Aye, sir!

AFAICS, the CB's from the majors have the unenviable task of popping a bubble gradually. Or instead lots of bubbles (Dow, home, derivatives, gov't private debt, boomer lifestyles...). Not an enviable task. I believe this story still has lots of time to run. . .OTOH, it is wonderful to see the return of volatility.