GOIH Capital Markets: Update

We have during the last several days recalibrated our quantitative models pending the FOMC meeting on October 31, 2007. We will post tonight with our view of the market and our view pending the Fed's meeting on Wed.


We see a move by the Fed to lower the Fed's Fund rate by 25-50 basis points. Notice that GS has made a new high this week in advance of the meeting of $245. Which we believe is a proxy for the Fed's move.


We have developed several new predictive models for revenue projection of the S&P 500 industry sectors and option market strategies. We will begin posting later this week with the results of the new models.