"In the field of monetary and credit policy, precautionary action to prevent inflationary excesses is bound to have some onerous effects— if it did not, it would be ineffective and futile. Those who have the task of making such policy don’t expect you to applaud. The Federal Reserve, as one writer put it after the recent increase in the discount rate, is in the position of the chaperone who has ordered the punch bowl removed just when the party was really warming up.”
Frühling in der Schweiz
William McChesney Martin, Speech to Investment Bankers Association of New York, October 1955
Ein Prosit, Ein Prosit, Der Gemütlichkeit
Ein Prosit, Ein Prosit, Der Gemütlichkeit
Eins, zwei, Drei g'suffa!
Zicke, zacke, zicke, zacke, hoi, hoi, hoi,
Zicke, zacke, zicke, zacke, hoi, hoi, hoi,
Prosit!
FOMC Statement, March 20, 2019
Stocks were stumbling this morning, with the financials being a general drag on things, while tech and the new era was a little more resilient
The Fed surprised the markets a bit with their dovish statement at 2:00 PM.
And so the Dollar and the Treasury yield took a dive, and stocks and gold/silver took off higher. It was a remarkably sharp reaction.
Fed Chair Jay Powell must have used the word 'patient' about thirty times in his press conference.
But, somewhat ominously, stocks were not able to hold that sugar high into the close.
The financial sector continued to be a drag on the indices, pulling down the SP 500, even as tech managed to hold some ground.
Ominous if stocks cannot rebound tomorrow.
I am given to understand from the young man that they are expecting mass demonstrations in London this weekend. I made some day trip suggestions as he is still there on spring break.
Any number of things are weighing on stocks. I think you know what they are, even if the mainstream media doesn't.
Today is the first day of Spring. And I spent all morning again working in the yard, and loved it. I only came back in for the Fed's statement.
Have a pleasant evening.
