{"id":2185,"date":"2009-11-04T08:29:09","date_gmt":"2009-11-04T13:29:09","guid":{"rendered":"http:\/\/leavittbrothers.com\/blog\/?p=2185"},"modified":"2009-11-04T08:29:09","modified_gmt":"2009-11-04T13:29:09","slug":"before-the-open-nov-4","status":"publish","type":"post","link":"https:\/\/blog.leavittbrothers.com\/?p=2185","title":{"rendered":"Before the Open (Nov 4)"},"content":{"rendered":"

Good morning. Happy Wednesday. Happy Fed Day.<\/span>
\nToday the Fed the Discount Rate (the rate banks pay to borrow from the Fed) and target the Overnight Rate (the rate banks pay to borrow from each other). It would be a surprise if the rates were moved, so again all attention will be on their statement. If the Fed acts tough, as if they’re getting close to raising rates, the dollar will firm and the market will move down. But if the Fed lets it be known rates will be kept low for the foreseeable future, the dollar could drop, and the market will likely rally.<\/span>
\nWhat the Fed does usually causes a hiccup in the near term but doesn’t often change the trend. We’ll see.<\/span>
\nThe notable news yesterday was the big move up in gold and the impending breakout from oil Here’s the oil chart. The long ETFs are setting up nicely – they look similar to this chart.<\/span>
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\nIn the case of gold, I wonder if it’s in the process of de-coupling itself from the dollar. There certainly wasn’t anything to justify the big move. In oil’s case, either the economies of the world are expanding or inflation is ticking up again.<\/span>
\nThe market will be slow until the 2:15 EST announcement. More after the open.<\/span>
\nheadlines at Yahoo Finance<\/a><\/span>
\ntoday’s upgrades\/downgrades<\/a><\/span>
\nthis week’s Earnings Reports<\/a><\/span>
\nthis week’s Economic Numbers<\/a><\/span>
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