Exchange traded funds (ETFs) are up this morning despite a spate of unanswered questions in the markets: will Greece get a bailout? Will Goldman Sachs get a slap on the wrist, or something worse? And what’s the Fed going to do this afternoon?

The Federal Reserve is meeting this week, and the central bank will make an announcement at 2:15 p.m. ET. Few expect any surprises in the announcement. The belief is that interest rates will stay low for an extended period and optimism in the economy will be expressed. The Wall Street Journal says that if there are any surprises, it may come in the form of the Fed backing off its “extended period” language in regard to interest rates. [How to Hedge Inflation Risks With ETFs.]

The euro is recovering this morning as legislators continue to discuss a Greek bailout deal. The German government will seek the okay to give Greece as much as $11.1 billion this year, and more in 2011 and 2012. The bill will be finalized on Sunday after Greek ends its haggling with the International Monetary Fund (IMF) and the European Commission. CurrencyShares Euro Trust (NYSEArca: FXE) is flat so far today. [The Dollar’s Next Move.]

The markets are still weighing a Congressional subcommittee’s grilling of Goldman Sachs (NYSE: GS) yesterday. Goldman stood fast and denied any wrongdoing in the 10-hour hearing while senators read from email after email. Democrats are using the hearing to get a push for financial overhaul, although following the hearings Republican senators still voted to block the bill. iShares Dow Jones U.S. Financial Services (NYSEArca: IYG) is up 1.8% this morning.

Oil prices may be up, but volatility is at a three-year low thanks to overflowing stockpiles and increasing OPEN investment in production capacity. The 50-day historical volatility – which measures the fluctuations around the average price – fell to 23%. For comparison, it rose to a record 108% at the start of 2009 after Lehman Brothers collapsed and the credit markets froze. United States Oil (NYSEArca: USO) is up about 0.5% this morning. [Alternatives for Getting Oil Exposure.]

Read the disclaimer; Tom Lydon is a board member of Rydex|SGI.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.