The Street: What a Week: Getting Late

[Robbien]

This week ended with hopes of all-time highs turning to fears of inflation, interest rates, a weak dollar, Iran and China. Anxieties bubbled to the surface as U.S. stock and bond markets sold off in the wake of an FOMC meeting that provided little guidance on the state of the economy and its outlook on further rate hikes.

There were even mumblings about the end of the American Empire.

Bearish sentiment clearly dominates, and the question is whether the Dow will take one last run at its all-time closing high of 11,722, or simply wither from here. That kind of talk is a far cry from last week's musings on how far stocks can rally on the "Goldilocks" economy.

. . .

This week's decline "is potentially of major significance," said Peter Eliades, editor of Stockmarket Cycles newsletter. Eliades says that since 1900, every time the Fed's discount rate has climbed to 6%, which it did this week, the stock market falls, with an average decline of 38%.

http://www.thestreet.com/_googlen/markets/marketfeatures/10285432.html?cm_ven=GOOGLEN&cm_cat=FREE&cm_ite=NA

posting because The Street is Wall Street's biggest cheerleader. The cheerleader has lost her pompoms it appears.

[acmejack]

1. Fixing to lose more than that

Watch out for this week, it will be more interesting to see if, when and who intervenes, to stop a free falling dollar.