Federal Reserve Policy indicator now Moderately Bullish

The Federal Reserve Policy indicator 

from page one, was Neutral 

in the September - October

2019 EL newsletter. 

It is Moderately Bullish today.

DETAILS:

The indicator consists of two trends:

(1) The Fed Funds interest rate trend, and

(2) The trend of Fed purchases 

(or sales) of Treasury bonds.

(1) 

is now Bullish:

The first 1/4 point 

fed funds rate

cut did not

mean much.

The second 1/4 point 

Fed Funds rate cut 

in a row, yesterday,

confirms a new trend, 

which is bullish.

(2) 

is now Moderately Bullish:

The Fed 

has reversed 

the trend

from bond sales, 

to bond purchases,

in the past few weeks,

which is moderately bullish.

(If this purchase trend continues

for over a month, that would be 

bullish)

(1) "bullish" 

+ (2) "moderately bullish",

= Moderately Bullish

for the Federal Reserve Policy indicator.