Brian Bethune
Brian Bethune
business capacity gaining heading justifies level second strength
Manufacturing is gaining strength heading into the second quarter. We have a level of capacity use that justifies more business investment.
ahead continue second spending
Consumption spending will continue to plod ahead in the second quarter.
activity early economy forward growth line output overall overseas picked quarter second sector solid strong stronger underlying
Activity in the manufacturing sector picked up early in the second quarter, in line with strong underlying fundamentals in the economy and stronger overseas demand. We can look forward to solid overall output growth in the second quarter of 2006.
bias companies demand higher intact quarter raise rates second strong toward
Demand is strong enough for companies to raise prices. This will keep the Fed's bias toward higher rates intact through the second quarter of 2006.
impressive industries kicked quarter second services
Services industries kicked off the second quarter with very impressive momentum.
continues growth second sector solid stage
The manufacturing sector continues to steam-roll ahead. The stage is set for solid growth in the second quarter.
consumers definitely excuse looked needed provided spending strong weather
We're definitely going to see a very strong first quarter. It looked like consumers were hibernating in December, and all they needed was an excuse to go on a spending spree. The weather provided that.
europe gaining growth japan provide
Recoveries in Europe and Japan are gaining momentum. This should provide the underpinnings for respectable growth in exports.
gust wind
That was a gust of wind in the spinnaker.
business continued corporate generally good help leads profits rebound saw signal
We saw a big rebound in corporate profits and that's a good signal for continued business investment. That generally leads to hiring, which will help keep consumption going.
aircraft drop expected impact month noise orders outlook strictly
The expected drop in aircraft orders is strictly month-to- month noise and does not have any impact on the outlook for growth.
bonds demand funds insurance pension reports solid underlying
There are reports of solid underlying demand for 30-year bonds from pension funds and insurance companies.
farmers fish gets lost price producers production profits recover seafood shrimp
The only consolation to farmers is that the price of seafood will go up further. So when production gets back on track, fish and shrimp producers can use the profits to recover their lost costs.
accelerate early expansion expected fed inflation projected quarter third
With the expansion projected to accelerate in the third quarter and inflation projected to be contained, the Fed is expected to 'play the same tune' and 'dance the same step' into early 2006.