This is a clear shift in U.S. policy and it probably indicates that the U.S. has received some concessions from Japan.

Their number is in the right ballpark. It could have a substantial effect potentially.

The Fed's problem is that the fed funds rate itself has very little effect on the economy. We continue to see movements in financial markets that basically officiate the Fed's attempt to slow things down.

On balance, I'd say the numbers this morning were more good than bad.

It will be worth the trouble for investors seeking a turn in momentum to squint carefully at the data and notice that profits did not fall as much in the second quarter as they did in the first.quarter.

The more significant (weekly jobless) data will be coming in on Thursday and (the monthly employment data) on Friday.

There's a lot of uncertainty about the outlook. There are a lot of risks, mainly downside risks.

This is one of the more surprising moves the Fed has made in a long time. I'm a little bit puzzled by this.

And the main reason for that will be the job cuts that enabled firms to do a more effective job of holding down labor costs.

The more important development more recently was the tax cut that was enacted over the weekend, which will provide some pretty good support for consumer spending over the next few quarters.