Are Fed governors talking out both sides of their mouths, hawkish and dovish at the same time?
See my comment of June 16, 2006, at the bottom of this page.
Do they even know what they are doing?
Or, do THEY know exactly what THEY are doing, at all times?
Are traders overreacting to both hawkish and dovish Fed comments?
This volatile mix obviously makes for a wild trading environment.
I expect more of the same.
We’ve got to TRADE, not invest.
The presence of so many loose cannons rolling around on deck offers mucho volatility, and that offers potential for both big trading profits AND losses.
Of course, this calls for discipline to strictly limit losses without hesitation when our trades don’t work.