Next week the FOMC will clarify how much they will slow the stimulus they have been adding (Purchase of securities to lower rates.)
Will Market Participants be Surprised ?
Currently the FOMC is purchasing $85 Billion monthly plus re-investment of prior investments into the capital markets to lower interest rates. The general consensus is they will slow that purchase by $10 Billion monthly. All market participants, including ourselves have had ample time to digest this change.
So You Know the End of the Movie, it can still be scary
Recently, my family has watched the movie Battleship multiple times, although we know the outcome, it is still scary. The FOMC’s removal of purchases seems simple, but like our Battleship repeat, is still a bit scary. We will be watching interest rates carefully.
This weekend brings a fun out-of-state trip to visit several friends/clients. Since I do not travel extensively, the novelty is usually there…yes…I do not get a great night sleep the night before, but I always enjoy the trip (first soccer game of the season missed, not with standing….sorry Sophia!)
Have a Great Friday and a Super weekend, talk to you next week !
John Kvalehttp://www.jkfinancialinc.com http://www.street-cents.com 8222 Douglas Ave # 590 Dallas, TX 75225