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.
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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.
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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.
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There are a lot of good factors out there.
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The only issue that is troubling is they feel some of the costs from energy are being passed on.
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With this figure, markets can remain all but assured that the Fed will continue to push short term rates higher well into 2006.
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We're still far from deflation, but not far from a deceleration in inflation, and that's why policy makers have to remain vigilant.
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This puts to rest any question of whether or not we're going to have an explosive recovery. We're clearly not.
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Real new home sale prices and existing-home sale prices have been rising very sharply. When that starts to give way and we don't have the equity market picking up where housing left off, that's another reason the economic expansion will be gradual.
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It doesn't give support to a robust expansion, ... Expansion is coming, just not the garden-variety explosive economic expansion.
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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.
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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,
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Even though, internally, I think they are probably debating it, it's just too early to make an announcement to publicize that debate.
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This employment report means that the phrase 'considerable period' will stick around for a considerably longer period of time.