Higher guidance doesn't necessarily translate into higher prices over the short/intermediate term.
Indeed, IR and HON are up by pennies, and DOV is getting schmeissed.
Bullard Hints at Screwflation
The Fed's multiple talking heads continue to have diverging views!
In the 35th Annual Policy Conference of the Federal Reserve Bank of St. Louis, St. Louis Fed President James Bullard asserted that the trend in disflation has flattened out (prices paid in yesterday's PMI vaulted higher as many commodities prices are rising parabolically), that the Fed doesn't exist to ratify the market think (or market expectations) and that he subscribes to moderation (shucks and aww) in QE 2 strategy.
Hawk and dissenter Hoenig (a voting member of the FOMC), in the New Mexico Economic Forum, continued to assert that there is no need for interest rates to decline further.
That said, QE 2 will be launched in two weeks.