The jobs number was dismal...
they must have run out of 'fudge factors' at the BLS.
Still, the markets are misguided if they expect Greedspan to quit riseing rates at his "measured pace."
The Fed is stuck with a dollar weakened by debt and deficits, and a prolonged war in the middle east, and unfunded Social Security and Medicare bonds out to the far horizon......
The commodity markets have noticed! That's why oil is heading for $110 per barrel!
GREENSPAN SIMPLY MUST PROTECT THE DOLLAR; TO PROTECT THE PRICE OF OIL FROM BECOMING TOTALLY UNHINGED.....
RATES WILL RISE NOW NO MATTTER WHAT....ALBIET, AT THE PROMISED 'MEASURED PACE' ---UNTIL THE REACH 5% TO 6% ON FED FUNDS.
AND GREENSPAN MAY HAVE TO "OVER SHOOT" A LITTLE NOW, AS IN THE 1970'S, TO PAY FOR PAST BUBBLES, AND OTHER MONETARY SINS.....
I seriously doubt that any rally today is sustainable on these facts.
That said, it is traditional for the market masters to hold up prices until after April 15 ...for the FLOCKING PENSION FUND SUCKERS. But around May 1st.....lookout below! Things will tank fast.
THE LABOR NUMBER TODAY WAS A CATASTROPHE....ALTHOUGH NOT UNEXPECTED.
AND ANY RALLY WILL BE STRICTLY FOR THE SUCKERS!
