Ruth Golod

I think the market is made up of the smartest people in the country. They know when to play along and when to “stay the course,” as someone from Washington will surely say today and tomorrow (etc). U.S. Treasury prices fell for the fourth straight session and have pushed yields to 21-month highs. Clearly the people behind the scenes on “the street” know that the Fed is unlikely to stop their course of action and continue to raise the Fed Funds Rate again in the next few meetings of the Federal Open Market Committee.

U.S. Treasury debt prices fell for fourth straight session on Monday as data on factory orders and the real estate market did little to change views that the Federal Reserve will push interest rates higher. January U.S. factory orders fell a bit less than expected but still recorded their biggest drop since July 2000. However, the report was full of upward revisions of individual components that offered support to the view that the Fed was probably not finished raising short-term interest rates.

New+York+Real+Estate, Interest+Rates, Fed, Fed+Funds+Rate

tags: fed, fed+funds+rate, interest+rates, new+york+real+estate

This entry was posted on Monday, March 6th, 2006 at 4:30 pm and is filed under News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.