Disappointing results from the Fed. Given that they did not cut either the FF rate or discount rate more than 25-bp, it is surprising the corresponding statement was not more illustrative of imminent lower rates to come; as in soon.
The market will get tested some here and we could be susceptible to pulling back following the decent recent run-up and the temporary lack of any real seasonal strength.
Remember, recent Fed-speak broadcasted a new and aggressive commitment to lowering rates. Today's score is 0-3 in terms of satisfaction from the Fed (FF, DiscntR + Stmnt). I remain positive on the leadership names to be mostly higher at year end, but the rest of this week is not something I want to speculate on at present. I unloaded all but partial positions on MR and GENZ following the announcement. I sold all of remaining JASO, TNH, SLT, GILD and half of my MR. Fortunately I was quite light coming into the day, banking some very nice gains at now higher levels.
I don't mind paying higher for anything I go back into, I just don't want to fight anything before the 17th or so. I'll take off a little time, dry powder at my side and see how and where things firm up. Tomorrow will be of interest, certainly, but it is after the 17th that the real seasonal strength for this month begins.