Sunrise Energy Metals Ltd SREMF

Bear Rally caused by the Fed???

[MAGICLENS]

Be careful about index rally. The fundamentals in the economy do not support this, BUT is supported by built up psychology in media, government, spec about being at the "bottom" of the market. Roaring 20s like roaring 90s. Just look at the charts: prudentbear.com PS: Posting distracting my trading somewhat, so I will do what other traders are doing...just watching the action, and communicate by inbox. Good luck to all!!!! Goodbye!! Market Summary October 15, 2001 Posted Daily Between 5 and 6:30 PM EST by Lance Lewis "....Fed Governor Laurence Meyer had a rather “interesting” idea today. He suggested that the Fed consider adding corporate bonds and stocks to its portfolio of securities “when the supply of Treasury bonds dwindles.” He also suggested that a mutual fund might be asked to manage the stocks for the Fed. There are a couple of minor logistical flaws in that plan I think (we’ll skip the philosophical argument about whether the Fed should be monkeying around in the stock market or not.) First off, the Fed’s charter doesn’t allow it to own stocks or trade them, so we’d have to have Congress change that first, which I suppose could be done. Secondly, I doubt the supply of Treasury bonds will be dwindling anytime soon as the US slips into recession and the government begins issuing debt in order to spend and “stimulate” the economy. But I don’t suppose those minor details would stop such a move. After all, it has worked so well for the BOJ over in Japan that has regularly intervened in the Japanese stock market “under the guise of price-keeping operations” for the last decade. I mention this firstly because I think it’s pretty silly and secondly because I get asked a lot about whether the Fed is buying futures on this or that day. The Fed can’t buy futures for the reason I cited above, but that doesn’t mean the Treasury can’t (for those who think a foreign hand might be in the market supporting prices at certain dicey moments) which certainly wouldn’t surprise me. This week is the big week for earnings where just about everybody who’s anybody reports. Tonight we’ll hear from semi equipment company NVLS. Then tomorrow night we get the headliners of the week, IBM and INTC. If Thursday’s highs hold again tomorrow and post IBM and INTC reporting/hoping, chances are the high for the rally is in. Will IBM and INTC finally decided to break the bad news to investors or stick to their usual hopeful stories? We’ll find out… "