Anthony Chan
Anthony Chan
fed justified uncharted waters
The Fed is justified in being aggressive. We're in uncharted waters here.
aware carefully doctor economy fed fully health needs patient recovering sends slowly
The Fed is fully aware that a slowly recovering economy needs to be nursed carefully back to health before the doctor sends the patient home.
economy energy fate federal prices reserve
The Federal Reserve and energy prices really have the fate of the economy in their hands.
aware energy fed higher inflation might prices raise
The Fed will raise rates, but they're aware that higher energy prices might do some of their job. And inflation is not so high that they need to panic.
basically coming data fears growth soft
The fears we had that growth was pretty soft and fungible are basically coming out; that's what the data are showing.
argue borrowing capacity consumer excess higher income ratio side
The consumer credit-to-disposable income ratio is much higher than it was in the '50s, so you can't argue that there is as much excess capacity on the borrowing side as there was in the '50s,
along core engine federal hike humming interest june keeps looks rate reserve
The core (inflation measure), while it's up, still looks very contained. This just keeps the Federal Reserve interest rate hike engine humming along after June 30.
cannot capital carry consumers economy far hope knows provides recovery report spending
Everyone knows that consumers cannot carry the economy indefinitely on their own, and this report provides some hope that the long-awaited capital spending recovery may not be too far off.
came focusing headline investors number though
Even though the headline number came in much stronger, it isn't the number investors are going to be focusing on.
best economic effect expansion higher possible pressure side sustained worlds
I think this is the best of all possible worlds for the Fed. They'd like to see the economic expansion sustained without the side effect of higher inflationary pressure from wages.
bit excited number numbers price
On the price deflator the numbers are a little bit stronger, so I am not as excited about that price number for GDP.
above core error eyes fears federal given reserve room
I think there were some significant fears that the CPI could come in above 0.2 percent. Given what we read in the Federal Reserve minutes, there was no room for error on core in the eyes of the market.
bit coming deficit growth notion premature short support throws trade wider
The trade deficit coming in a bit wider suggests growth is going to be a lot slower. It throws more support on the notion that there is more uncertainty in the short run. But that's premature speculation.
behind creeping federal general housing increase last market mortgage rates reserve seen several tone year
Several times in the last year we've seen mortgage rates creeping up and housing hasn't responded. Now the Federal Reserve has put some credibility behind the increase in rates. I think it set a general tone for the housing market that it'll be a lot more muted.