Mark Zandi
Mark Zandi
Mark Zandi is chief economist of Moody's Analytics, where he directs economic research. He is co-founder of Economy.com, which was acquired by Moody's Analytics in 2005. Prior to founding Economy.com, Zandi was a regional economist at Chase Econometrics...
NationalityAmerican
ProfessionEconomist
CountryUnited States of America
couple expanding housing less next quite region rest
This region is expanding not quite as much as the rest of the country. We will see much less housing activity, especially in the next couple of years.
areas combined conditions country enjoying falling few less point result rising values wonderful
At some point you will get a combination of falling values combined with rising payments on adjustable mortgages, which will result in more bankruptcy. For these areas of the country that are enjoying such wonderful conditions right now, it will become much less wonderful a few years down the road.
certainly fed less likely neutral pause percent rate
It's less likely that the Fed will pause in its tightening. A neutral rate is certainly at least 4 percent and probably a little higher. That's where we're headed.
bursting housing mortgage rates rise slow store
I think what we have in store is a slow deflating of the housing bubble, not a bursting of the bubble. But if mortgage rates rise more sharply than I am expecting, then the downturn in housing could be more severe.
decision higher level regarding since year
I think they will tighten, but there is a much higher level of uncertainty regarding this decision than at any one since they started over a year ago.
euphoria housing likely scenario slowly
I think the most likely scenario is that housing euphoria slowly deflates but doesn't burst.
curve message overly understand watch yield
I think the message in this inverted yield curve is muddled. I think it is something to watch and to understand better. But I am not overly concerned.
consumer effects gas homes money overall people pull spending
People are able to pull money out of their homes and put it into their gas tanks. So the overall effects on consumer spending have been small.
economy remains tough underlying
We don't get away scot-free, but the underlying economy remains tough and sturdy.
car drive heat home spend
You are going to spend more to drive your car and to heat your home.
decidedly depends effects few likely negative next time year
It depends on your time frame. For the next few months, it's decidedly a negative event. But in a year or so, the effects will likely have faded.
concern economy hit oil since
I thought oil would have been a concern since it hit $40 but the economy has digested it well,
continue stick
I think they're going to stick to their script, that they're going to continue to tighten at each meeting.
katrina question
Katrina is going to muck things up; it's just a question to what degree.