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
bond market rates
Reintroducing a little uncertainty in the bond market would be desirable. Long-term rates are too low,
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.
fading fast further housing market move prospect rates
The housing market is fading fast and the prospect is it will weaken further as rates move higher.
expect face good higher interest job rates somewhat workers
The tightening of the job market, while very good for workers and much deserved, argues that workers should also expect to face higher interest rates and somewhat higher inflation.
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.
allow cuts move point rates revert
Now, I do think when we move into 2012 and '13 when, presumably, the economy is on firmer ground, I would allow the tax rates for upper-income individuals to revert back to where they were before the cuts in the 1990s. I think at that point it makes perfect sense.
distressed engage fully house move ordinary prices properties resolved time until
It is time to move on. House prices won't rise and the economy won't fully engage until more distressed properties are resolved and put back into ordinary use.
businesses coming confident course further improve job market turning willing
Once skittish businesses are turning into confident businesses that are willing and able to hire. I think the job market will improve further in the course of the coming year.
adjustment came disrupt economy-and-economics goods higher illegal lead literally major prices
If illegal immigration came to a standstill, it would disrupt the economy. It would lead to higher prices for many goods and services, and some things literally would not get done. It would be a major adjustment for our economy, for sure.
impact pricing starting
The impact on pricing is starting to fade.
facilities gonna lots money overtime running sure triple work
And you know at these kind of prices, there's lots of money to be made. So I'm sure they're gonna work triple overtime to get their facilities up and running again.
fed growing signals statement
The Fed is growing more uncomfortable about inflation, ... This is a more hawkish statement and signals that more tightening is on the way.
euphoria housing likely scenario slowly
I think the most likely scenario is that housing euphoria slowly deflates but doesn't burst.
broader economy force full month reflect statistics ugly
All these statistics reflect the full force of the hurricanes on the broader economy and we will probably have another month of ugly statistics.