Have faith in the Fed for US rally

The Nasdaq may have bounced back above the 2000 level in recent weeks but the big issue is still whether the US will avoid a recession. We are relatively sanguine because there is little doubt the Fed is doing everything in its powers to stop the economy from falling off a cliff. It has cut interest rates five times since the turn of the year and Greenspan will keep cutting rates for as long as it takes to get the economy on track. But if there is one dark cloud on the horizon in the US it is the energy crisis in California ' home of Silicon Valley and the world's sixth largest economy. T...