Diane Swonk
Diane Swonk
clearly fed insurance risk saying willing
I think this is clearly the Fed saying 'we're willing to take out an insurance policy, we're not willing to risk recession',
absorb blows economy fed labor market strong
Like what the Fed has suggested, the U.S. economy was more than strong enough to absorb the blows of Katrina. The labor market is still pretty resilient.
argue begin bulk cuts fed feeling pulling rate time
There are many who, on a theoretical basis, would argue that now is the time the Fed should begin pulling back because we'll be feeling the bulk of the rate cuts when we already should have started tightening again.
begin boil concerned cycle fed flames pot time turn
We are at a time in the cycle when you don't need to just turn down the flames on the fire, you have a pot that is already boiling. What the Fed is concerned about is that even as you begin to turn down the flames that pot will still boil over.
fed seen softer stay tone
We have seen a softer tone in their write-ups. I think there is a real sense that the Fed is going to stay on the sidelines.
fed interest involved rate save tools wall
What can the Fed do about WorldCom? This is not an interest rate problem. This is not something they should be involved with, ... I'm sorry, Wall Street, but you can't look to the Fed to save you when they don't have the tools to save you on this one.
fed sure today
What the Fed told us today is, we don't think we are done yet and we are not sure when we will be done.
basis fed given good hesitate insurance policy question reason spend
There's no question that, given the right circumstances, the Fed wouldn't hesitate to spend 175 basis points. But they really have to have a good reason to put an insurance policy out there.
bit coming fed fireworks friday news seen washington
After the fireworks we've seen coming out of Washington on Friday and Monday, I think the Fed would like to be the least bit of news this week.
against eyes fed growth saying waiting whites
This is not much of a surprise. We've got a Fed saying growth is strong, but they're still hedging against a downturn. This is a Fed waiting to see the whites of the eyes of recovery.
deal fed focus limited productive statement trying
A limited statement would be more productive because the Fed is trying to deal with psychological issues. They want the focus to be on their action, not their words.
fed guess move sidelines until
It's my guess the Fed will probably move to the sidelines until at least November,
almost confirm fed minutes
The minutes confirm the Fed is almost done (raising rates).
fed walking
It's about the Fed being more communicative with the markets, ... won't just be walking into Greenspan's shoes.