Fundamentals 6/20: Preview of Fed Statement

Threre are no significant fundamentals today. Existing Home Sales (Tuesday), New Home Sales (Thursday), durable goods orders and revised 1Q2011 GDP (Friday) will not likely be market movers. FOMC meets Tuesday and Wednesday in the context of “we’ve tried everything and nothing has worked.” Uncertainty regarding Greek debt could rally U.S. Treasuries and mortgages if there is a greater perception that a default will occur. In Greece, politicians are trying to sell to the public the need to reduce public spending and balance the budget. In the U.S. most politicians have not even tried this.