So we have an almost complete reversal of yesterday. Insane. The market really has no idea what it wants to do and is moving without conviction. Both the dramatic move down yesterday and the move up today was surrounded by very light volume.
There was a letter leaked today that was written to Senator Charles Schumer by Bernanke promising essentially to protect the markets. I wonder if it was not leaked by the FED themselves after yesterday's market fallout. All part of the PR campaign they are waging to keep everything propped up and keep from lowering rates if possible. I am telling you history is on the side of the dollar having a huge impact in all of this and the dollar has a potential of crumbling if there is a major cut in rates. Bernanke is in trouble and he is hearing it from Senators on one side and the treasury on the other.
Anyway FORGET Fundamentals, FORGET anything that we used to look at. TRADE on whatever the Fed says next.
All sort of unreal to me. Stick to fundamentals. That is what will come out sooner or later.
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