Can't debate you there on 09/11....can't predict, just have a viewpoint....and be willing to change it in a heartbeat. That being said, in trading you don't fight the Fed, you go with the flow. In macro position plays, you have to form a viewpoint and place bets accordingly. Macro, I think the slowdown is just beginning. The buyout of America is only beginning.... Nov. 29 (Bloomberg) edited down -- China Investment Corp., the nation's $200 billion sovereign wealth fund, signaled it may invest in stocks rocked by subprime mortgage defaults. ``CIC wants to be a stabilizing force in the international capital markets,'' Chairman Lou Jiwei told a conference in Beijing today. He then cited a ``recent example'' in which a similar fund invested in a financial institution with subprime losses, without identifying the two parties. Abu Dhabi Investment Authority this week agreed to buy a $7.5 billion stake in Citigroup Inc., helping the biggest U.S. bank by assets to bolster capital eroded by credit-market losses. China Investment, which began operations in September, was set up to help improve returns on China's $1.46 trillion of reserves. Abu Dhabi's investment followed purchases by U.A.E. fund Dubai International Capital LLC in companies including London-based HSBC Holdings Plc, Europe's biggest bank by market value. Today, China's Ping An Insurance (Group) Co. bought a 4.2 percent stake in Fortis, Belgium's biggest financial company, for 1.81 billion euros ($2.7 billion). In October, Bear Stearns Cos., the second-biggest underwriter of U.S. mortgage bonds, sold a stake to China's government-controlled Citic Securities Co. for $1 billion." Read the whole article if you get a chance.
History shows that during cutting phases, the market almost always rallies the next 4-6 months but then the underlying factors eventually take back over and it comes back to reality. From 01 to 02 the rate was dropped from 6 to 2 % yet it still could not stop the recession nor the bear.
checkout the retailors... sears....basically if the market was rescued yesterday, the retailor news...would have led to new lows.