Thursday, September 21, 2006
A Pause at 5.25%
As expected the Fed kept its rate at 5.25%. Prior to this announcement the SPX hit an all time high of 1328.
The SPX slipped back though once the Fed released its accompanying statement as some dovish Traders were hoping to see a clear nudge that rates would in the future being going down. They didn't get this and the Fed said basically what it said last month; that whilst there had indeed been an easing in the housing markets and energy prices it would still keep a watch on the inflation data.
The SPX finished up 6.87 to 1325.18 and we are still comfortably in our Green Zone.
I haven't yet decided when I will issue the RUT play. It will probably be at the weekend but I just want to keep an eye on what the market does over the next few days and make a decision. This is a long trading month so we are in no rush!! I'll keep you informed.
Until next time.
The SPX slipped back though once the Fed released its accompanying statement as some dovish Traders were hoping to see a clear nudge that rates would in the future being going down. They didn't get this and the Fed said basically what it said last month; that whilst there had indeed been an easing in the housing markets and energy prices it would still keep a watch on the inflation data.
The SPX finished up 6.87 to 1325.18 and we are still comfortably in our Green Zone.
I haven't yet decided when I will issue the RUT play. It will probably be at the weekend but I just want to keep an eye on what the market does over the next few days and make a decision. This is a long trading month so we are in no rush!! I'll keep you informed.
Until next time.
# posted by Paul @ 4:29 AM 
