CHRIS.ZAPITIS

Using The Fed Model To Understand This Market

Dear Jeff,

I would be very much interested to know what actual data sources are you using in your modeling,
and also the exact form of the FED model implemented.

I am using the FED model to find the FAIR value for the S&P 500 with the Shiller datasheet,
with a FED model which takes into account Nominal Long Interest rates, 1 year forward inflation expectations and
an empirically computed 10-year moving average for the risk premium.

I am not sure that this approach is correct, but I would be very much interested in any comments or insight you may offer!!!!

I hope I hear from you soon


Regards,
C.