Thursday, January 10, 2008

Bernake Learns

Finally, Bernake says something that the market wants to hear, interest rate cuts are coming. After the last two flops, he's realized, "Hey, the market needs clear direction, not wishy-washy academic talk".

The economy did have some other positives today: Countrywide has a potential buyout deal by Bank of America and last week's unemployment claims unexpectedly decreased.

Tomorrow will be a tough day for the market. It has to weigh a good positive day versus the potential for an upward trend for the next week. I'm worried that people will take any opportunity to cash in some profits rather than ponder future potential gains.

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