Just for your information, nothing is likely to happen in the market today until 2:15 PM (eastern). Then the fed almost certainly will either cut rates by a quarter or a half, and the market will probably react one way or the other.

In the meantime, there will be endless discussion on the part of pundits about what the fed will do, what they should do, and what it all means.

Whatever the initial reaction is, my best guess is that the market is now set up for a pretty sharp (and maybe quick) move to the upside.

Larry

Larry,
Depending on the Fed's decision, if the market moves up radically, do you see the big players using the jump to take profits at the expense of the small guys? After all if the Fed cuts especially if its .50 points isn't that telling us that the economy is really in bad shape and their desperately trying to fix it? (elections are coming). Of course Greenspan could throw some rosey comments in the mix but how many of the big boys are going to believe it?

Gary

Gary,

The market, especially the Nasdaq, is showing surprising strength in front of the rate cut. Part of it is because of the strong housing numbers, but a lot of it is probably excitement over an anticipated 50 basis point cut. I think it makes it more likely that if the market spikes up even more when the fed actually makes its move, we could get "sell the news" type selling.

Larry