Anthony Chan
Anthony Chan
core cost early energy increases jump limited longer mature pass power pricing rest saw seeing today whenever
We still see limited penetration into the rest of the economy. It's too early to say you're seeing pricing power to pass on the energy cost increases just because you saw just a jump in the core PPI number. The world has changed. In the old traditional world, whenever you had mature expansion, you had pricing power. Today with globalization, that's no longer the case.
early expect fed historic near pick rate results savings seen starting though work
We're starting to see the savings rate pick up from near historic levels, which is very encouraging. Though we don't expect Fed tightening to work overnight, we are starting to see some of the early results of the significant tightening we've seen to date.
change economy financial head ignore looking markets people sea seen strong
We've seen a sea change in the way the financial markets and economy watchers are looking at the world, ... For many months, people thought the economy was so strong and robust, they could ignore these head winds.
bank central consumer consumers continues encourage giving inflation lower numbers report spending whatever
The CPI report continues to be encouraging, ... These numbers are stimulating consumer spending by giving consumers more spending power. At the same time, lower inflation will also encourage the central bank to do whatever they need to do.
factors good
There are a lot of good factors out there.
costs energy issue passed troubling
The only issue that is troubling is they feel some of the costs from energy are being passed on.
assured continue fed higher markets push rates remain short term
With this figure, markets can remain all but assured that the Fed will continue to push short term rates higher well into 2006.
far makers policy remain
We're still far from deflation, but not far from a deceleration in inflation, and that's why policy makers have to remain vigilant.
clearly explosive puts question rest whether
This puts to rest any question of whether or not we're going to have an explosive recovery. We're clearly not.
debating early
Even though, internally, I think they are probably debating it, it's just too early to make an announcement to publicize that debate.
automobile equivalent exciting financing itself months november warmer weather work
This is an exciting number, but it was warmer in November than usual. The warm weather is the equivalent of zero-percent financing on automobile sales. You're going to see this work itself off in months to come.
barometer clearly conditions employment household incorrect labor market measure relying shows
This clearly shows that relying on the household survey's employment measure as a barometer of labor market conditions is not only risky, but also an incorrect assumption,
employment longer means period phrase report stick
This employment report means that the phrase 'considerable period' will stick around for a considerably longer period of time.
activity bit economic euphoric given january loss momentum month reflects underlying
It reflects some loss of momentum from January. Activity in January was a bit too euphoric given the underlying economic fundamentals. This month is more realistic.