Wednesday, November 4, 2009

Today's Market

Let's coordinate fundamental and technical events.

At point A we learn get the Fed statement:

The Committee will maintain the target range for the federal funds rate at 0 to 1/4 percent and continues to anticipate that economic conditions, including low rates of resource utilization, subdued inflation trends, and stable inflation expectations, are likely to warrant exceptionally low levels of the federal funds rate for an extended period.

Basically, the Fed has walked into a frat house and yelled "FREE BEER"!!!!!!!!!!!

And yet

B.) The market ends the day on a sell-off.

This is the weakest reaction possible to this news.