Danny Salas

Archive for September 21st, 2009

Chico, CA Interest Rates Market Report – Economic Influences – September 21, 2009

A Lot Happening This Week

War…What Is It Good For…

Absolutely Nothing…Yeah, I’ll say it again; Absolutely Nothing!  Uh, except lower interest rates.  Israel and Iran and feuding, and if war breaks out between the two countries, investors will move their money from stocks, to a safe-haven, like bonds.  But, I’d rather see peace, than lower interest rates.  Just so ya know…

3rd Quarter Ending

So, the 3rd Quarter is ending next week.  This is the opportunity that I have been talking about for quite some time.  I don’t think Stocks will look too Rosy.  Also, it’s a time when portfolio managers will sell off their poor Stocks to buy trendy, hot good stocks.  This is known as “window dressing.”  Again, that should be good for interest rates. 

Treasury Auction

Wow!  $112 Billion Treasury Auctions starting Tuesday.  2, 5, & 7-Year notes will be auctioned.  We’ve seen a healthy appetite for these recently, however, when will the well dry up?  It will be interesting to see if foreign appetite is still apparent.  If it is, coupled with the above information on Stocks, rates should really look good.  If not…the opposite could happen.

Fed Meeting

Good ‘Ole Ben Bernanke and his chronies are meeting this week.  Expect Wednesday’s comments to the public to have some weight on it, and that could move markets too. 

Floating

We’ll continue to float today.  This week could be a huge opportunity for interest rates…keep checkin’ in!