BlueskyMack

Sept 18th

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I think it's very interesting that DIA gets close to it's 200 day moving average and everyone was calling for a rate cut and complaining about the volitility. Granted it dropped 7 percent in 2 weeks, but, it still hasn't declined more than 10 % in the last 4 years and the rate inversion which was such a portent of decline has been a non signal up to this point.
I think the fed will do nothing on the 18th and the market will react with nothing. Whenever the expectations get set, usually nothing happens. Look at GOOG on the day/week after lockup for insiders shares. What happened? Nothing, but 1 year later GOOG had about doubled.
What should be concerning is the mortgate situation and the frozen equity in homes these days. The tax law changes in 1996 relating to houses turned the housing market into a "stock market" and that is a challenge, because unwinding the increases will be challenging. And what about oil hitting 80? I'm not playing either side of this upcoming meeting. I think it will be sound and fury signifying nothing.