Fed Drops Rate .25%…Market tanks.

[Coronita]

That was so cool. They should disappoint those mother*^&)%$ again! I'm hoping for a stock market crash.

 

Looks like the markets in asia are getting trashed too. U.S. economy sneezes, everyone else gets a cold too.

 

Nikkei 225	15,795.20	-249.52	-1.56%
Hang Seng	28,544.24	-682.60	-2.34%
Straits Times	3,537.46	-51.57	-1.44%

 

[hipmatt]

If this economy was as strong as the perma bulls say it is, then it should have taken off today with a .25 cut.

Instead, it predictably held a pity party and fell 300 points.

I do expect the rate cuts to keep on coming though.. as the bad news / write downs continue to come in… and of coarse housing continues to fall as well.

Looks to me like the fed will walk a tight rope balancing act right to the edge of the plank, where it will finally have no more power to stimulate the economy. IMHO this will just prolong the volatility, and misery, while not addressing the issue at hand at all, which is that America faces too much debt, and relies heavily on the continued use of it to appear strong.

I really wonder if a quicker, more severe recession would force this country to get back on track, and in the long run, be better off, making us stronger and wiser. The easy way out doesn’t seem much better to me.

[hipmatt]

If this economy was as strong as the perma bulls say it is, then it should have taken off today with a .25 cut.

Instead, it predictably held a pity party and fell 300 points.

I do expect the rate cuts to keep on coming though.. as the bad news / write downs continue to come in… and of coarse housing continues to fall as well.

Looks to me like the fed will walk a tight rope balancing act right to the edge of the plank, where it will finally have no more power to stimulate the economy. IMHO this will just prolong the volatility, and misery, while not addressing the issue at hand at all, which is that America faces too much debt, and relies heavily on the continued use of it to appear strong.

I really wonder if a quicker, more severe recession would force this country to get back on track, and in the long run, be better off, making us stronger and wiser. The easy way out doesn’t seem much better to me.

[hipmatt]

If this economy was as strong as the perma bulls say it is, then it should have taken off today with a .25 cut.

Instead, it predictably held a pity party and fell 300 points.

I do expect the rate cuts to keep on coming though.. as the bad news / write downs continue to come in… and of coarse housing continues to fall as well.

Looks to me like the fed will walk a tight rope balancing act right to the edge of the plank, where it will finally have no more power to stimulate the economy. IMHO this will just prolong the volatility, and misery, while not addressing the issue at hand at all, which is that America faces too much debt, and relies heavily on the continued use of it to appear strong.

I really wonder if a quicker, more severe recession would force this country to get back on track, and in the long run, be better off, making us stronger and wiser. The easy way out doesn’t seem much better to me.

[hipmatt]

If this economy was as strong as the perma bulls say it is, then it should have taken off today with a .25 cut.

Instead, it predictably held a pity party and fell 300 points.

I do expect the rate cuts to keep on coming though.. as the bad news / write downs continue to come in… and of coarse housing continues to fall as well.

Looks to me like the fed will walk a tight rope balancing act right to the edge of the plank, where it will finally have no more power to stimulate the economy. IMHO this will just prolong the volatility, and misery, while not addressing the issue at hand at all, which is that America faces too much debt, and relies heavily on the continued use of it to appear strong.

I really wonder if a quicker, more severe recession would force this country to get back on track, and in the long run, be better off, making us stronger and wiser. The easy way out doesn’t seem much better to me.

[hipmatt]

If this economy was as strong as the perma bulls say it is, then it should have taken off today with a .25 cut.

Instead, it predictably held a pity party and fell 300 points.

I do expect the rate cuts to keep on coming though.. as the bad news / write downs continue to come in… and of coarse housing continues to fall as well.

Looks to me like the fed will walk a tight rope balancing act right to the edge of the plank, where it will finally have no more power to stimulate the economy. IMHO this will just prolong the volatility, and misery, while not addressing the issue at hand at all, which is that America faces too much debt, and relies heavily on the continued use of it to appear strong.

I really wonder if a quicker, more severe recession would force this country to get back on track, and in the long run, be better off, making us stronger and wiser. The easy way out doesn’t seem much better to me.

[drunkle]

there is no sanctuary…

damned if you do, damned if you don’t. i like how jim cramer was ragging on bernanke. jim was estatic at the rate cuts earlier, but predictably, the cuts didn’t fix anything. and now he’s tantruming about not getting more ineffectual cuts.

[drunkle]

there is no sanctuary…

damned if you do, damned if you don’t. i like how jim cramer was ragging on bernanke. jim was estatic at the rate cuts earlier, but predictably, the cuts didn’t fix anything. and now he’s tantruming about not getting more ineffectual cuts.

[drunkle]

there is no sanctuary…

damned if you do, damned if you don’t. i like how jim cramer was ragging on bernanke. jim was estatic at the rate cuts earlier, but predictably, the cuts didn’t fix anything. and now he’s tantruming about not getting more ineffectual cuts.

[drunkle]

there is no sanctuary…

damned if you do, damned if you don’t. i like how jim cramer was ragging on bernanke. jim was estatic at the rate cuts earlier, but predictably, the cuts didn’t fix anything. and now he’s tantruming about not getting more ineffectual cuts.

[drunkle]

there is no sanctuary…

damned if you do, damned if you don’t. i like how jim cramer was ragging on bernanke. jim was estatic at the rate cuts earlier, but predictably, the cuts didn’t fix anything. and now he’s tantruming about not getting more ineffectual cuts.

[Eugene]

Fed is buying it at even greater amount (soon enough we will see how much money Fed printed to balance the sheet).

If foreign investors were getting rid of T-bills and Fed were absorbing all the excess bonds sold off by foreigners, we’d see some significant exchange rate movements as newly-printed dollars are dumped into forex markets. Instead, most currencies are trading sideways.

[Eugene]

Fed is buying it at even greater amount (soon enough we will see how much money Fed printed to balance the sheet).

If foreign investors were getting rid of T-bills and Fed were absorbing all the excess bonds sold off by foreigners, we’d see some significant exchange rate movements as newly-printed dollars are dumped into forex markets. Instead, most currencies are trading sideways.

[Eugene]

Fed is buying it at even greater amount (soon enough we will see how much money Fed printed to balance the sheet).

If foreign investors were getting rid of T-bills and Fed were absorbing all the excess bonds sold off by foreigners, we’d see some significant exchange rate movements as newly-printed dollars are dumped into forex markets. Instead, most currencies are trading sideways.

[Eugene]

Fed is buying it at even greater amount (soon enough we will see how much money Fed printed to balance the sheet).

If foreign investors were getting rid of T-bills and Fed were absorbing all the excess bonds sold off by foreigners, we’d see some significant exchange rate movements as newly-printed dollars are dumped into forex markets. Instead, most currencies are trading sideways.

[Author]

Posts