At Marketwatch (link)
Philadelphia Federal Reserve President Charles Plosser spoke against overly aggressive rate cuts, with the talk dampening a rebound from the market's largest single-day plunge in nearly a year.
When the Fed did its .75 emergency rate cut, I commented that there are worse fates for the U. S. economy than a mild recession (blog entry). It isn't as if all those Fed members don't understand that, but Bernanke got them all to do the cuts anyway.
The market continues to be treacherous. Last week's huge gains, and Tuesday's huge dip and then today's whipsaw action show the double edged nature of the market for position traders. Jack be nimble, Jack be quick, for anyone that wants in this game.
Gold has had similarly wild swings. I continue to opine that gold is in a secular bull market and the thing to do is buy the dips. Traders can continue to look for low risk entry points. Right now, there is plenty of risk, so best to stand aside.
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