Thursday, April 26, 2012

Fed Meet

FOMC stands pat once again, but revises unemployment forecasts to 7.8% from 8%, growth forecasts to 2.4-2.9% from 2.2% - 2.7% and Bernanke leaves the expectations open for more bond purchases.

The price action in the last few days has seen solid recovery of the mild selloff last week - this week will be defining on whether or not the bears can take control of the price action - given that the earnings reports are still coming in-line if not beating expectations, we should see continued strength in equities.  Analysts revised their earnings on sp500 companies from 4% to 6.9% for the first quarter.