The Conference Board's confidence index fell to 50.4, the lowest level since
February 1992, from a revised 58.1 in May. Consumers were the most pessimistic
about the future in the 41- year history of the index. A separate report today
showed home prices in April dropped the most since at least 2001.
Falling property values, rising unemployment and higher food and fuel bills
have shaken consumers and may cause purchases to slump once the rebate money is
gone. While price increases signal the Federal Reserve may raise borrowing
costs later this year, policy makers are forecast to hold the target rate
unchanged tomorrow as concern over growth lingers
The market expects the fed funds rate will remain unchanged at 2.00%
``I don't think we're going to have the inflation problem that the markets
fear,''
The number one concern for the Fed right now is the financial crisis and the
impact from the financial crisis on the overall economy.
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# Look at market fluctuations as your friend rather than your enemy; profit
from folly rather than participate in it. "A good momentum is a good
opportunity".
# We simply attempt to be fearful when others are greedy and to be greedy only
when others are fearful. "Buy when you cannot find a Bull".
# Only buy something that you'd be perfectly happy to hold if the market shut
down for 10 years.
--Warren Buffett Quotes --
Smart Investment ideas
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