Shenandoah

Blunder Day

October 31, 2007 on 8:56 am | In Old Posts |

by John Galt

To today is the day boys and girls. The Federal Reserve releases their decision on interest rates and as I speculated below, there really is no right decision they can make. Even a 25 basis point cut will obviously cause market disruption with the British Pound surging over $2.07 this morning. I will have a lot to say about this subject later on today, but watch the market reactions carefully. IF Goldman Sachs and other financials start to go up in price right after lunch but before the rate decision is announced, you know it will be favorable to their positions and the information has been leaked to them. Regardless of the decision, remember that the US Dollar is toast no matter what they do, even if they increase rates by some sort of miracle. With the economy and Christmas 07 already teetering on every word and action they take, I doubt seriously that this will happen. A much longer op-ed is forthcoming tonight….