We are going with Fischer on this one!

A was chatting with a friend of mine who works at a firm in Chicago; it went something like this:

Fiend: A lot off rhetoric out of Washington last night
Me: And your point is...LOL
Friend: Trying to coax the market into a sense of security
Me: Sure...that'll do it
Friend: For 120-minutes

Point being, all the money the Washington gang has thrown at the economy already, one could say the job market is telling us and them it ain't working. And may be suggesting that a new tack might be in order; but it seems more of what isn't working is headed our way.

Blackmont Stomps on Buy-and-Hold; Mixed Rate Decisions in Europe

Investment advisor at Blackmont Capital and friend of Currency Currents, Yves Lamoureux, made a few comments on trading strategy that we wanted to include in today’s piece:

From Buy and Hold to Buy and Fold! Have investors been snoozing during the recent drop? They are now hitting the sell button in panic. The constant reminder to buy and hold stocks for the long term and forget about volatility probably hit home as more than 10 years of returns are wiped out.

Reserve Bank of Australia Cuts; Plus: A New Member of Black Swan

Australia’s dollar is little changed since the overnight announcement by the Reserve Bank of Australia to slice another 100 basis points off its benchmark interest rate. Despite the negative, the Aussie is holding on to small gains this morning.

It looks as though the big move came in the days prior, expecting a big downward adjustment by the RBA. As we explained to members of our Forex & Currency Futures newsletter on Thursday, January 29:

ChartView: Commodity road to 2001?

Just maybe the market is catching on to the potential problems facing the commodity currencies—China. The Reserve Bank of New Zealand made it very clear by its statement and recent 150 basis point cut that this crisis is intensifying. RBNZ Governor Ballard said at a recent conference: “The global recession is also now affecting us through trade channels and a slump in world commodity prices." Kiwi surged to a fresh new 5-year low against the US dollar yesterday, and continues to get whacked this morning.