If you want to asses the market's true feeling about underlying (economic) fundamentals, you have to look at the 10-year and under. |
Important is the Fed's new predilection that links future rate actions to incoming data. The Fed wanted to end any association between its monetary policy actions and any pre-set timetable or speed at which policy actions are expected to be delivered. |
In 2006, interest-rate differentials are unlikely to widen much, even if U.S. interest rates move higher. |
In fact, there is a chance that the March rate cut might be just [a quarter-percentage point] and not the [half-percentage-point] the market expects, |
In light of today's $500 billion wealth loss in the stock market, it is rational to begin thinking about an endgame to the Fed's rate hike phase, ... At the very least, recent developments tell us that the Fed's actions have finally reached a critical breaking point that limits the scope for significant rate hikes going forward. |
In the aftermath of a string of bad inflation news, the Fed now appears to have ample ammunition to justify their strategy shift. |
In the context of the recent markdown in prices, one could argue that the results in no way indicate that the recent bond market sell-off is over. |
In the end, fundamentals will dictate trading. |
Investors will also be looking at how he dons the Fed Chairman's cap, seeking whether it feels comfortable with him there. |
It all adds up, |
It is conceivable, for example, that the current weakness in stock prices may already reflect the weak earnings news that will be released over the next several weeks and the stock market might unwind some of its excess pessimism, |
It is more than likely that 10-year yields will rise to 4.75 percent by the end of March. The market senses a very strong economy. |
It looks like he has done it again, just when the market thought he had made potential policy error. |
It suggests the trend has changed, because each week's estimate is based on the trends. This is clearly an important change, when taken with other news, particularly monthly payroll statistics. It suggests more good news is on the way. |
It was an excuse to consolidate recent losses. |