Wednesday, October 9, 2013

Economic Journal - Wednesday, 10/09/2013

(as of 7:20 PST)
 
The appointment of a new Federal Reserve Bank is the big news today.  Vice-Chair Janet Yellen has been picked to replace Ben Bernanke and is expected to continue his easy money policies.  While this should be a positive for the market, the news is overshadowed by the stalemate between President Obama and Speaker of the House Boehner and the continuing government shutdown coupled with the rapidly approaching debt ceiling deadline.  Momentum is very negative with most markets marching downward.  Gold is off significantly as is oil.  The International Monetary Fund has lowered global growth forecasts, citing the troubles in Washington, DC.  Earnings season kicked off yesterday, but earnings are not expected to be a big lift to markets this time around.  There may be more pain in the forecast.
 

 

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