Leaks before FOMC?
- Thread starter Pekelo
- Start date
probably banks tipped off and frontrunning liquidity injections ahead of the meeting, to create the appearance of a bullish market for the fed
http://www.newyorkfed.org/markets/omo/dmm/temp.cfm
shouldn't the fed have a .com domain? aren't they a private bank with shareholders
http://www.newyorkfed.org/markets/omo/dmm/temp.cfm
shouldn't the fed have a .com domain? aren't they a private bank with shareholders
StreamlineTrade
Guest
No never. You cant leak what is already known to EVERYONE (but you 
)
Everyone knows the Fed will raise rates by 0.25. The Fed tends to suggest where the rates will go long in advance as study of the Fed Funds or Eurodollar futures will show. Too much is at stake to shock the market with anything else - last time they tried that stunt there was a crash (87 I think)
In my experience, when the number is released, there is a lot of volatility, but little net change by the time of the close.
IMO volatility is small before the release because it is the main event of the day and markets tend to have already priced in the change so there is little else to move the market.
Speculators tend to analysis how things were said rather than what was said. FOMC minutes are often better moves for the speculate opportunity.
Never say never.
)Everyone knows the Fed will raise rates by 0.25. The Fed tends to suggest where the rates will go long in advance as study of the Fed Funds or Eurodollar futures will show. Too much is at stake to shock the market with anything else - last time they tried that stunt there was a crash (87 I think)
In my experience, when the number is released, there is a lot of volatility, but little net change by the time of the close.
IMO volatility is small before the release because it is the main event of the day and markets tend to have already priced in the change so there is little else to move the market.
Speculators tend to analysis how things were said rather than what was said. FOMC minutes are often better moves for the speculate opportunity.
Never say never.
Quote from StreamlineTrade:
No never. You cant leak what is already known to EVERYONE (but you
Everyone knows the Fed will raise rates by 0.25. The Fed tends to suggest where the rates will go long in advance as study of the Fed Funds or Eurodollar futures will show. Too much is at stake to shock the market with anything else - last time they tried that stunt there was a crash (87 I think)
In my experience, when the number is released, there is a lot of volatility, but little net change by the time of the close.
IMO volatility is small before the release because it is the main event of the day and markets tend to have already priced in the change so there is little else to move the market.
Speculators tend to analysis how things were said rather than what was said. FOMC minutes are often better moves for the speculate opportunity.
Never say never.
They raised unexpectedly between meetings in early 2000 I think it was.
Maybe the leak is for no hikes. The way the S&P rally, dollars dropping, crude rising. All the evidence points to no hike. Maybe some janitor heard it and sold the information, who know? We'll see how it plays out in a couple of hours.
Greater rate hikes >less probability of further hikes>less market uncertainly about rate hikes> markets go higher
It is also end of quarter and institutional buying usually comes on <b>strong</b> the day before the last day of the quarter or end of the month...
there is even a pattern of the market selling off hard the day just before the end of quarter buy day... go back and look...
cj...
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there is even a pattern of the market selling off hard the day just before the end of quarter buy day... go back and look...
cj...
__________________
HAVE STOP - WILL TRADE
If You Have The Vision We Have The Code