The rise in the unemployment rate takes much of the sting away from the robust gain in payrolls from a monetary policy perspective. The big fear ahead of the release of this report was that labor markets were overheating. |
The risk of deflation has increased. Is it a significant risk? Probably not. |
The sharper-than-expected PPI decline will undoubtedly raise the stress level of [Federal Reserve officials] at the next policy meeting since it tells us price trends are moving dangerously in the wrong direction, ... The only consolation, however, is that this report was dominated by energy price declines. Outside of the food and energy price components, price trends appear to be stabilizing. |
The sharper-than-expected PPI decline will undoubtedly raise the stress level of [Federal Reserve officials] at the next policy meeting since it tells us price trends are moving dangerously in the wrong direction. The only consolation, however, is that this report was dominated by energy price declines. Outside of the food and energy price components, price trends appear to be stabilizing. |
The significant number of headwinds such as rising energy prices and the prospects of rising short-term rates are taking their toll on the economy, |
The significant number of headwinds such as rising energy prices and the prospects of rising short-term rates are taking their toll on the economy. |
The small improvement in labor market conditions, despite the continued risks that remain on this front, do suggest that even with all the caveats that Greenspan echoed in his latest testimony ... the Fed might be inclined to move towards a neutral risk bias, |
The small improvement in labor market conditions, despite the continued risks that remain on this front, do suggest that even with all the caveats that Greenspan echoed in his latest testimony ... the Fed might be inclined to move towards a neutral risk bias. |
The stock market didn't want the economy to grow too quickly because they were worried about aggressive rate hikes, ... They wanted the Goldilocks approach where everything was just right. But now they realize that maybe the porridge is a bit too cold for their taste. |
The stock market didn't want the economy to grow too quickly because they were worried about aggressive rate hikes. They wanted the Goldilocks approach where everything was just right. But now they realize that maybe the porridge is a bit too cold for their taste. |
The terrible, devastating effects of hurricanes Katrina and Rita, when we see those things on TV, we know we don't feel as good about our country or even about ourselves. |
The trade deficit coming in a bit wider suggests growth is going to be a lot slower. It throws more support on the notion that there is more uncertainty in the short run. But that's premature speculation. |
The two months of favorable data allow us to start connecting the dots. It gives us a picture of a rapidly improving labor market. I think we can categorically say we have seen a sea change in labor market environment at this time. |
The unemployment number is the one Main Street looks at. This buys the Fed a little more time and allows it to hold true to its word that, until geopolitical risk lifted, no stimulus should be added to economy. |
The unemployment rate is picking up, but it's picking up at a very slow pace, |