Jeff Cheah
Jeff Cheah
believes cut dangerous endorse fed inflation might view
If they were to cut rates, it might endorse the view that the Fed believes inflation is not a problem. And that can be a dangerous game.
certainly component danger developing economy giddy looks price prices sector showing start
It suggests to us that the manufacturing sector of the economy is still developing at a giddy speed, and the price component looks problematic and is showing price pressure. While there's certainly no danger of hyper-inflation, there are some indications that prices may start to accelerate.
begin believe federal financial looking markets point question reserve trend
You have to believe the productivity trend is very real, but at one point will it begin to taper off? That's a question financial markets and the Federal Reserve have been looking at very closely.
bit double point seem showing
We seem to be showing a little bit of a recovery, we were at one point down double digits.
earnings hear heavy market stuff
So I think that kind of spooked the market a bit, but we're in heavy earnings season, so we're going to hear a lot of that stuff going forward.
concern impact major might people rather risk saying stay tech
There is a lot of concern about Cisco's earnings. Rather than risk major disappointment, people are saying it might be better to stay out of the market. And because it is a bellwether stock, Cisco will have an impact on other tech stocks.
investors key reacting word
Stabilizing ... that is the key word that investors are reacting to.
few good hurdles looks step surface
On the surface it looks very impressive, but we still feel there are a few hurdles that we need to overcome, but we've made a good step at challenging those levels.
aside attribute bullish expect ride sentiment smooth yesterday
There is a fundamental sentiment change, aside from that nothing has changed. Sentiment was very bearish yesterday and you could attribute that to nervousness. I expect a roller-coaster ride for another two-to-three weeks. I'm bullish but I don't expect it to be a smooth ride.
clear coming currency gets growth japan might momentum seen strong
What is clear is that Japan does not really want a strong yen. If the currency gets too strong it might stall the growth momentum we've seen coming out of Japan.
certainly economy examine fed growing growth inflation maybe pace rate risk seeing telling tells
What all this tells us and is certainly telling the Fed is that maybe we need to examine what the sustainable growth rate really is. The risk is that we have an economy that is growing at a pace that historically suggests we should see inflation pressures, but we're not seeing that yet.
conditions data fed labor market monetary overall policy recent rhetoric suggest tight
Overall it does suggest that labor market conditions are very tight still and the Fed probably still has one more tightening to do, because recent rhetoric suggests monetary policy will get more and more data dependent.
associates close coming computer hear heavy likely negative positive reporting saw start surprises
We're coming close to a heavy reporting season. We will start to hear positive or ... more than likely negative surprises like what we saw with Computer Associates earlier.
consensus fed feeling general knows report
The report was very confusing. The general consensus feeling is that no one knows what, if anything the Fed is going to do.