Anthony Crescenzi
Anthony Crescenzi
borrow capital companies condition corporate economy higher income less meaning past profits rarely seen sensitive spending year
The economy is less interest-rate sensitive than it was a year ago because of income growth, and we have corporate profits higher than capital spending -- a condition only seen rarely in the past 40 years -- meaning companies don't need to borrow as much,
economic economy enters further giving grow growth hence holiday investors job looking might momentum optimistic prospects raising seen strong toward
Looking out even further toward the end of the year, investors might grow optimistic about the end-of-year economic situation, as 2004's strong job growth could be seen as raising the prospects for holiday spending, hence giving the economy momentum as it enters 2005,
economy last moves profits rising steadily
As long as the economy moves along, you'll get profits rising steadily ... I don't think this (selling) will last steadily.
additional basis continues economy points vigor
If anything, we could get an additional 175 basis points this year, potentially, if the economy continues to show the kind of vigor we've had so far.
additional causing create drop economy fed further higher hold interest pose raising rates remains risk stimulus vigor
The Fed will look at a cross-section of data, which still show that enough vigor in the economy remains to pose a risk for higher inflation, ... If the Fed were to hold off on raising rates on Tuesday, they would create additional stimulus for the economy by causing a further drop in other interest rates.
barrel billion change consumer economy enormous gain impact influence oil per prices year
Each one-dollar change in oil prices has a $7 billion per year impact on consumer spending. So the gain in oil prices recently, from $25 a barrel to $37, is an enormous influence on the economy -- $84 billion, in other words.
attention economy economy-and-economics fed inflation pay point slowing
Even if the economy slows, there will still be inflation, ... But there comes a point when the Fed won't pay attention to inflation because of a slowing economy.
economy handful likely repeated small succumb
That makes it more likely we will need to have repeated hikes, because the economy won't succumb to a small handful of hikes.
excess growth pointing report strong
The report is universally strong and is pointing to growth in excess of Greenspan's objectives.
alarming certainly favorable last trend
As alarming as this is -- and the trend is certainly not very favorable -- it's not like it was in the last recession.
context higher last released
In the context of the PPI released last week, which was much higher than expected, the CPI is a big relief,
conditions inflation
I think we have conditions in place now that could put off the tightening. Unfortunately, there is some inflation embedding itself.
clinton happened hurt market people report stock yesterday
In the morning, many people thought the Clinton report would hurt the stock market - but it happened yesterday and Wednesday.
businesses failed harmful higher industries money small taxed
The money channeled from failed industries to small businesses would be taxed at higher rates, and that would be harmful to the economy,