Taper Caper

(1) Leaves will change before Fed does. (2) Fed officials concerned about weaker economy and fiscal follies. (3) Also, tapering postponed so yields would stop rising as a result of tapering talk. (4) Bond yield may stay between 2.5%-3.0% for a while. (5) Gold goes up and down. Industrial commodity prices barely budge. (6) Emerging markets unlikely to outperform. (7) Europe may not continue to outperform unless data improve. (8) US stocks face some challenges in October. (9) Bernanke’s last two press conferences confuse rather than enlighten. (10) “Prisoners” (+).