Primary stock index trends revealed little direction during the initial half of
the last trading session. Investors were more or less sidelined ahead of the
highly anticipated announcements from the Feds. The Fed ended their two day
policy meetings last session and reported details during the latter half of
yesterdays trading session. Up to that point in time, the primary stock
composites were posting mixed. The Dow Jones Industrial Average, as well as the
S&P 500, were posting red at the mid-day mark. The Nasdaq was trending on the
positive side of break-even at that point. As the trading session neared close
for the day, the primary stock indices in the U.S. had dropped significantly
lower due to the unpopular response from the Federal Reserve. The Dow Jones
Closed the day lower by over 280 points at 11,124.84. The Nasdaq closed out the
session lower by over 52 points at 2,538.19 and the S&P 500 finished off red by
over 35 points to close out the session at 1,166.76. The Feds reported that they
would transfer approximately 400 billion from short term Treasuries into long
term Treasuries. This move is expected to increase lending and push economic
progress forward. What most were hoping to hear was that the Feds would initiate
another round of economic stimulus. The people wanted the Federal Reserve to
pump dollar bills into the economy via a QE3. When this was not presented as an
active strategy, indices dropped to their lowest points of the day. Frank Matto
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