Thursday, October 29, 2009

GDP Gains Boost Interest Rates

Wall Street cheered this morning and the government reported a stronger than expected 3.5% increase in the US Gross Domestic Product (GDP) the amount of goods and services produced in the country. Is this the end of the recession? Can economic growth continue? Or is this surprising jump merely a result of the government's stimulus packages?

Interest rates jumped after fally back yesterday. As I am always on the alert for three period patterns, I look at today's run in rates somewhat skeptically. Is this a short term top? Or will rates follow through and break through and surge higher? We will be watching closely.


As 2009 draws near to an end, we are gearing up to begin our interest rate trading again for 2010. In 2009, we generated a 30% gain through the beginning of June. Since that time, we had not been active in the trading arena. Generating high returns over a short period of time is a very stressful activity. Along with the unnecessary stresses of government intervention on numerous occasions, it didn't seem appropriate to risk handsome annual gains anymore than necessary.

As we move into 2010, we will again strive to duplicate the 30% returns that we saw in 2009. If you are interested in learning how we intend to achieve this objective, send us an e mail for more information.

You can see our trades and recommendations at 2009 Interest Rate Trading Results. If you are not able to get access, drop us an e mail for the key code.

No comments:

Post a Comment