Businesses are stepping up. They're flush, and they're increasingly confident. |
Christmas sales are shaping up to be OK. |
Confidence is a key part of what's happening in the economy and the market. You shouldn't underestimate the importance of symbolic moves like these. |
Consumer spending growth will moderate, but it won't impede the current pace of economic expansion. |
Consumers are likely to pay more for lumber, coffee, chocolate, perhaps sugar _ anything that we import through the ports in the affected region will face higher prices. |
Consumers are reeling from the high energy bills and that has to be watched very carefully. Another month of falling consumer confidence would be disturbing. |
Consumers will see higher prices on coffee beverages and even chocolate if the raw supplies get backed up at the ports. In agricultural products, prices of cereals and breads could decline. If we can't export the wheat and grain, then the excess supply will have to be consumed domestically, pushing down prices. |
Fundamentally, though, it stems from the fact that China will post a $250 billion surplus on its trade with the United States this year and there's simply no sign of that easing any time soon. |
Gasoline, home heating prices, they are very volatile. Some months they're up, some months they're down. They depend on the vagaries of the weather ? It's warm, it's cold. The big decline I think will result in a big increase next month. |
Given the crosscurrents in the economic inflation data, it will be difficult for him to be clear-cut. |
Given the recent surge in energy prices and higher medical costs, many will not be made whole by the increase. The increase is backwards looking; it represents inflation over the last year. In the near term, inflation will be greater. |
Going forward it will be harder for them to maintain their spending - and their living standards. |
Greenspan should weigh against asset markets in the good times -- just as he works to support them in the difficult times. He's been one-sided in his policies, |
He doesn't have the wide range of experience Greenspan did going into the job, which has served Greenspan well. |
He said housing has turned increasingly speculative, and a correction in the market is coming, ... But he also said that the correction won't affect the great bulk of homeowners. |