That's what US central bankers do. Wreaking havoc. At least if recent history is any indication. This will be Yellen's first speech as Chairwoman of the Fed and given there is no Fed meeting this month it can be considered her first policy statement. It looks like the text will be released tomorrow at 8:30 am ET. Yellen' s words could cause big moves in FX and bonds and propel equities higher with another huge rally. Stocks indeed appear to have bottomed last Wednesday and last week we increased very substantially our exposure. Among our longs : PCLN, SCTY, and FB which we still hold on to. Note that a number of Fed officials will be speaking this week as well, Lacker and Fisher tomorrow night and dove Bullard on Wednesday . Yellen will speak twice, tomorrow and Thursday again before the Senate Banking Commitee at 10: 30 am ET. If the market doesn't react well on Yellen's first appearance, there is potential for a turnaround with other Fed members' verbal intervention or during Yellen's second appearance.
