Anthony Chan
Anthony Chan
coming federal future near numbers quite reserve suggesting theater
These numbers are suggesting that a future Federal Reserve tightening will be coming to a theater near you quite soon.
balance discourage economy fed numbers retail risk sales telling thinking toward
These numbers are essentially telling us that retail sales were artificially boosted by zero-percent financing. These numbers are not going to do anything to discourage the Fed from thinking that the balance of risk in the economy is toward weakness.
appear clearly conditions fed hikes investors justify labor less makers market policy pressures rate rather report spoil wage
This is clearly a non-threatening report for investors and policy makers alike. Labor market conditions appear to be tepid enough to justify less rather than more Fed rate hikes while wage pressures did not spoil the party.
builders canary clue coal market move price sales
The new-home sales market is the canary in the coal mine. Builders have a better clue as to what the right price is to move a house.
average cost percent producing product
About 70 percent of the average cost of producing a product is wages,
boss increase jobs pay power pricing sector service tempting terrible wage
It's tempting to say these are terrible jobs, but the service sector has more wage pricing power than the manufacturing sector. If you're getting a pay increase from your boss today, it's probably not in manufacturing.
bit markets
It's going to make the markets a bit jittery, especially when the market is conditioned to be data-dependent.
believe quite sector
I still believe, and I believe this quite strongly, that the manufacturing sector will, in fact, recover. This is only one month.
clean companies creates estimates lowering means situation time
Any time you have a situation like this it creates opportunities for companies to clean up their attics, and that means lowering estimates and partly, or completely, attributing it to Katrina.
basically calms fears great number
That's a great number that basically calms a lot of the fears out there.
although change corporate inflation issue likely major overall positive pricing view
The lackluster change validates the Fed's view that inflation is not likely to be a major overall issue in 2004. Although this bodes well for policy, it is not a positive for corporate pricing power.
early labor market seems slow start
The labor market seems to be improving, but still at such slow pace, it's probably too early to start celebrating.
economy good huge likelihood react rebuilding sector starts stimulus takes
There's a very good likelihood we'll see the sector come back as rebuilding takes place and the economy starts to react to the huge stimulus in the pipeline.
plan seems stop
There seems to be no plan or inclination to stop the hikes.