21 Jul 2004 16:04 BS =DJ Special Summary Of Fed Chairman Greenspan's Testimony




The following is a special summary of U.S. Federal Reserve Chairman Alan Greenspan's testimony before the House Financial Services Committee. For full coverage of the events and a complete verbatim text of Greenspan's comments, please search the code G/FED.


Greenspan Reiterates Fed Sees Gradual Interest-Rate Rise
Federal Reserve Chairman Alan Greenspan said Wednesday the U.S. central bank aims to continue raising interest rates at a gradual clip over the next 18 months or so, but is ready to "respond promptly and flexibly" if inflation proves to be higher than policymakers now expect.

In the second round of his semi-annual testimony to Congress on monetary policy, Greenspan said the latest economic data show the U.S. economic recovery has become "broad-based" and "self-sustaining." He downplayed worries that the recovery is losing steam, saying the recent weakness in consumer spending is likely to prove "short-lived." Under the circumstances, he said, the Fed must raise its key federal-funds rate to a "more neutral setting" that neither stimulates nor curbs economic growth.


Greenspan: '01 Tax Cuts Were Necessary To Curb Recession

Federal Reserve Chairman Alan Greenspan on Wednesday defended the $1.3 trillion tax cuts that Congress enacted in 2001, saying the cuts helped stave off a deeper recession than the one the economy suffered that year.

But Greenspan told U.S. lawmakers that he is worried about the long-term outlook for the budget and urged Congress to adopt rules that would require spending increases to be offset by tax increases or tax cuts to be offset by spending cuts.


Treasurys Slide Continues With More Greenspan On The Way

With Federal Reserve Chairman Alan Greenspan's upbeat assessment of the U.S. economy still fresh in the minds of investors, Treasurys fell further in midmorning trade Wednesday, with shorter-dated maturities suffering the most.

Market participants are now listening to the Chairman's responses to questions from the House Financial Services Committee in the second leg of his semi-annual congressional testimony. Greenspan delivered an identical speech to the committee as the one given to the Senate Banking Committee on Tuesday.


(END) Dow Jones Newswires

July 21, 2004 11:04 ET (15:04 GMT)

hootchey coochy yuro

moonblue is greenbum talking againt today aswell? can you please tell me what time gmt please. Guess which idiot is long cable today? yep and am covering by moving the stop around.

rgds
zarif

aye im happiy eroused. :)

Tell hatty I'm off to wash my balls :)

lol what will munnyam think of me?

hes spake at 320pm zarif..and did q&a

zarif



can check for weeks ahead below

http://www.nasdaq.com/econoday/calendar/US/EN/New_York/year/2004/month/07/day/21/daily/index.html

http://www.forexnews.com/

Moonblue- many thanks. Despite his Hawkish comments the cable has certainly taken a nose dive the last two days and i am long dec contract so am hanging in there and scalping on the daily.

rgds
zarif

z ..fx is moved by the specs imo..any excuse to move it they do..news is interpreted to fit the movement...so really best not to stand in the way of a strong move...go with flow i recon..Sentiment polls show the crowd is as bearish the US Dollar as any time in history right now. Perhaps that's why it can't go down:

gap filled and then up again.......

Thanks Moonblue - you are right its "just Manipulation" and climbing a wall of worry!!!.

Re team
Kenmare buy is my recommendation.
MG
gone short cable 382,(bit premature)see the gap filled, limit about 40 lower.

Ok i will add your team to the Game. There is not really to much to do apart from select your initial stock picks, and then if you want to make any changes (one per weekend) you may do so. Or you can just let your portfolio ride it's course for the 10 weeks. The Leader is just the person who posts the selection and makes any changes. Other than that - thats it!

You could stick the whole 1 million into just one stock or divide up between individual team member stock picks? it's up to you. Team members can be active or silent, it does not really matter.

and thanks for joining in.
:-)

hopefully golddog the others will add thier choices and we can divde it up that way

hi moonie..

leeshindig here...

just thought id say hello whilst up late piddling about with the site...:)

that lunatic on the other channel is still creating two aliases a minute..

regards
Lee.
Live Charts

p.s we signed kluivert!!

hi lee..
hes over rated...lol

http://www.livecharts.co.uk/

They have changed the lower end tgt:


Equity Markets Summary -


Asian stocks declined today, after a Texas Instruments Inc. executive said growth in the wireless communications industry will slow in coming quarters. Morgan Stanley Capital International's Asia-Pacific Index, which tracks more than 900 stocks, dropped 0.9 percent to 88.65 at 11 a.m. Tokyo time. The regional index fell for a third day and is on course for the lowest close in five weeks. Japan's Nikkei 225 Stock Average slumped 1.6 percent to 11,256.41. South Korea's Kospi index slid 1.7 percent, while Taiwan's Taiex index fell 1.2 percent. Stock benchmarks fell in all countries except for the Philippines.


U.S. stocks fell on Wednesday, led by technology shares after investors were disappointed by Motorola Inc.'s results and Microsoft Corp.'s failure to sustain its initial gains on a plan to distribute $75 billion to shareholders. The Standard & Poor's 500 Index shed 14.79, or 1.3 percent, to 1093.88, with most of the drop coming in the last two hours. Mercury Interactive Corp., which makes software that tests the performance of computer programs, helped lead the decline. The Dow Jones Industrial Average slid 102.94, or 1 percent, to 10,046.13. Both benchmarks closed at two-month lows. The Nasdaq Composite Index fell to a level not seen since Oct. 24. It lost 42.70, or 2.2 percent, to 1874.37, led by Nextel Communications Inc., Intel Corp. and Cisco Systems Inc.

European stocks rose Wednesday after Ericsson AB and Volvo AB posted higher-than-expected earnings, boosting investor optimism about profit growth. The Dow Jones Stoxx 50 Index added 1.1 percent to 2631.29, its biggest gain since June 16. The Stoxx 600 Index advanced 1 percent, led by technology shares, with about eight stocks climbing for every three that fell. The Euro Stoxx 50, a benchmark for the 12 countries using the euro, rose 0.8 percent. All 18 industries in the Stoxx 600 climbed, except the food and beverage group. The Stoxx 600's group of technology shares advanced 3.3 percent.



Equity Technicals:


- DAX Index - the index has been to 3900, pulls back to 3860 - 3855, but should make an upmove to 3940 - 3950 thereafter. The medium-term outlook remains unchanged -- expect a new upwards cycle to form, one which should go on and challenge the 4175 top further out, and perhaps go on and focus at a 4500 upside target later in the year. The idea, from here on up to next week, is not to quibble about a cyclical low, but rather start building a long stake at current levels for the medium-term haul.


- FTSE 100 Index - the index has been to 4390, pulls back to 4335 - 4330, but should advance further towards the 4410 - 4420. The medium-term outlook remains positive. The next upwards phase from there may kick off a new upside sequence which will go on and challenge the 4600 top, and perhaps extend gains further towards 4750 later in the year. Therefore, the idea, from here on,is not to quibble, but rather start building a long stake at current levels for the medium-term haul.


- S&P 500 - the index failed to make it 1120 and fell below Monday's trough, going to as low as 1093 -- a disappointing development since it opens up the risk of further declines to 1080 - 1070. The medium-term view remains positive however -- if 1080 holds the line, expect a new bull market cycle, may go on and challenge the 1165 top, and thereafter extend gains to 1225 later in the year.


- Dow Jones Ind Ave. - the Dow failed to make it to 10,300, and looks like the test of the low will go through and Dow revisits 9850 base, a disappointing development. The medium-term view remains positives nonetheless. The main uptrend should resume shortly. -- the bull market's revival waits in the wings -- and eventually, we expect to see a rally to the 10,800 top, and perhaps further appreciation towards 12,000 later in the year.


- NDX 100 - an upmove towards the 1440 - 1450 resistance was turned back at 1433 -- the decline since then disappoints, as it opens the possibility of further declines to 1370 - 1360. The medium-term view remains positive however -- a new bull market should go on to test the 1560 top, and perhaps further appreciation towards 1750 later in the year.


- Nikkei - no change in view -- the rally has resumed and should go further higher -- next stop is 12,200 high. We believe in the bulls' case -- a new uptrend may have already initated from the 10,450 low in May, which may have 15,000 - 15,500 as the major goal late in the year.


- Hang Seng - no change in view -- the index should continue to ratchet higher, then challenge the 12,600 resistance. The market gets set for a new bull market rally. The uptrend should then resume and may target the 16,500 - 1 7,000 area later in the year.