There are lot out credit problem out there and buble in credit market pop out. The financial market and brokerage are feeling pressure from the sub prime market. First, Amarnath, then Blackstone, Bearsterns, Countrywide and list goes on. While most of the anlayst think the fed will keep rate unchage or some think higher, I think they will reduce rate. There is no inflation at overall level. I mean they have to reduce the rate to slowly brust this bubble than big noise. I hope Mr. Ben and company get it.
I keep my finguer cross.
Update 7/8/07, 4:00pm PST
Ok, I was wrong.
Fed did not listen the song of sirens. May be Fed are right about not to reduce the rate. They do not want to bail out some Company who made a wrong call. After all its there business wrong call loose money, poor Bear Stern.
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