No Action FOMC leads to market reaction 4/29/9
“Rates will likely stay low for an extended period.” Thanks for the update…the problem is rates may stay too low for too long. Does anyone remember Greenspan at 1.0%. It appears the market has no short term memory? Energies were higher with the exception of natural gas which failed to close higher 2 days in a row, down 9 cents of this post. Yen and dollar lower though paring losses after Fed’s no decision. Euro was higher, maybe our CTA is back! We favor longs in the Loonie and Aussie. Most likely will be looking for a short opportunity in the Cable. Agriculture was higher on bullish news out of S.America. This is good for our wheat but our long objective has not been met in corn. The pivot point in July beans stands at $10, price could go either way, stay tuned. Gold and silver were higher, we favor longs. We advised clients to lighten up on sugar longs and book a profit. In cotton we sold July 55 calls against the purchase of 2 December 65 calls; paying $1800 per strategy. Conatct us for an explanation. We were filled at 90 points on June 72 lean hog calls and bought more futures. The S&P hit a 3 month high, I for one don’t trust it.
Tags: Aussie, beans, bradbard, Cable, commodity, corn, cotton, euro, Fed, FOMC, futures, gold, Greenspan, interest rates, lean hogs, Loonie, MB Wealth, natural gas, options, quantitative easing, RBOB, silver, sugar, wheat
