Will Chiefs Slash?
The market is entertaining the notion that the Federal Reserve will cut interest
rates at its Open Market Committee tomorrow, spurring a rally in T-bond and Dow
futures. Many observers have been predicting an easing of the Fed’s policy
directive. TradingMarkets bond honcho Tony Crescenzi has put the odds of an
“ease directive close to 100% and 50% for a surprise cut.” The markets
are in part reacting to a Wall Street Journal article titled “A
Rapid Slowdown in the Economy May Speed The Federal Reserve,” which
suggested that the Fed could become aggressive in ensuring that the economy does
not slow too much. The last GDP revision showed the economy had slowed 50% from
the previous quarter.
T-bonds
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List, are up half a point and trading at fresh contract highs.Â
Dow futures
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the Fed’s meeting. JP Morgan is up 5 points and all of the Dow financial
components (such as AXP, C, and GE) are up 4% to 5%.Â
Natural gas is having another wild day. The NY Mercantile
exchange recently increased the margin in natural gas futures. The higher margin
has forced some players to exit the market or to scale back the number of
contracts traded. As a result, thinner trading is exacerbating the volatility in
the commodity. Nat gas gapped open and was up over 13% in early trading. The
January contract
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up .304 at 8.700.
Annual changes to the Nasdaq 100 took effect today. Update your watch lists of stocks on the Naz 100. The following issues
will be added to the Nasdaq-100 Index: BEA Systems, Inc.
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BEAS |
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Software Technologies Ltd.
(
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Exodus Communications, Inc.
(
EXDS |
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(
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Rational Software Corporation
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(
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Mercury Interactive Corporation
(
MERQ |
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Inktomi Corporation
(
INKT |
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Here are the companies that came off
the Naz 100:Â
Adaptec, Inc.
(
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(
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Group, Inc.
(
APOL |
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(
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(
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Legato Systems, Inc.
(
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(
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Corporation
(
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(
PHSY |
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Transnational Corp.
(
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(
SIAL |
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(
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PowerRating).