Art Cashin explained the genesis of the rumor of the discount rate increase in his Friday commentary. Always a good read.
Market Commentary By Art Cashin March 19, 2010
Art said that we had a Dow Theory buy signal. We did above 10725. From Richard Russell:
Turning to the nearer term, ironically, the stock market issued a "triple bull signal" yesterday...For the time being, the market is saying that "everything's OK." For the time being, that is. In Late Notes on yesterday's site, I described how I received three bullish signals at the market's close.
Now Richard grudgingly acknowledged the buy signal. But before he did that, he had this chart in front of it.