Greenspan's Legacy

And possible delay of market Bearish Trend.

I have been reading, where some expect Bush to ask AG to stay on beyond his final term at end of this year.

It is argued that this would make Greenspan the longest running Fed Chairman in history and keep economic growth going heading into next Congressional Elections, where the Rep's of course would love to hold onto majority.

And that Wall Street would LOVE this and maybe Markets would consider this a "bullish surprise" ?

And maybe this IS worth considering. I would think if markets and housing hold up through Autumn, very good chance.

But there seems to be a few names already surfacing to replace him. And you must wonder what will it be like without Alan Greenspan. Would his leaving signal a trend change as did his arrival?

Would leave us vulnerable sometime in 2006? Why couldn't someone else carry on his views? or would be just perception. This goes forgotten

From greenspan Revealed:
At the end of both books, though, the reader is left feeling that something is missing. That may be because the last chapter of the Greenspan saga is yet to be written. He still has to bring the booming economy of the 1990s in for a soft landing and avoid a crash. Only then, perhaps, will we know how Alan Greenspan will be judged by history.By RICH MILLER

SO we don't know how it will turn out. BETTING is taking place on his replacement

NOT everyone think Bush wants Greenspan to "hang on"

"It's highly unlikely that President Bush will extend him," says Kim Wallace, political analyst for Lehman Brothers. "This week that list (of possible successors) has been looked at a lot more closely." Wallace also pointed out that the Bush family has never much loved Greenspan. George H.W. Bush and his wife thought Greenspan could have goosed the economy to grow faster in 1992. If he had, they reportedly believe, Bill Clinton might not have been elected President over George Senior.

*But then I ask, WHY did Bush extend his last term? Because a change just then, during economic weakness was not a good bet.

Anyway, food for thought. If mood gets too bearish a surprise could be in offing. But only delay some kind of trend change. We will try and keep an eye on the sentiment and help us it to guide our views.

Duratek