Our models indicate that the Fed will lower the Fed Funds rate between 25-50 bps.
Market Sectors Affected:
Financial Services----up trend
Consumer Discretionaries---up trend
Housing Sectors----flat trend
Our Monte Carlo simulation has identified several stocks that will be affected positively by the Fed's rate cut:
- Goldman Sachs (GS)
- JP Morgan (JPM)
- Bank of America (BAC)
- Countrywide (CFC)
- Lehman Bros. (LEH)
- Morgan Stanley (MS)
