Anthony Chan
Anthony Chan
demise economic existing home jump moderate recovery sales somewhat surprise talk widespread
With the surprise jump in new home sales and the outsized rise in existing home sales, we now see that widespread talk of the demise of our moderate economic recovery has been somewhat exaggerated.
likely overall remain sales somewhat total
The overall total of nominal sales is likely to remain somewhat weak.
although below came details gain market report somewhat
Although the gain in real GDP came in somewhat below market expectations, the details of the report were much more favorable,
appearing bank central economic gates lowering people rates recovery somewhat start trying
Now, with the economic recovery appearing to be somewhat in place and the central bank not lowering rates, we see people trying to get in at the gates before rates start to rise.
chip extent fact housing market nature negatively pillars somewhat strength
One of the pillars of strength of the housing market is the fact of the tax-advantaged nature of the asset. To the extent that you chip away at that, you would see housing somewhat negatively impacted.
auction came lethal levels somewhat stock yields
Yields at the auction came at levels that were not lethal to the stock market. Overall, it is somewhat encouraging for equities.
button certainly equity expected federal good hikes housing interest news policies reserve slowing somewhat
For the equity market, this is somewhat good news because certainly (the report) is an important button for the Federal Reserve to see if its policies are working and that housing is slowing down, as it would be expected to do so, with all the hikes in short-term interest rates.
basically
What this does is basically vindicate Greenspan's policy. In 2000, we're going to see more of a gradualist policy.
basically
What this does is basically vindicate Greenspan's policy,
battery conclusion despite effects energy exclude higher job market prices recent
When we exclude the effects of the recent hurricanes, we have to come away with the conclusion that despite higher energy prices and a battery of hurricanes, the job market is not doing all that bad.
basically case jobs million missing stage
We're basically missing 5.1 million jobs at this stage of the expansion. You could even call it the case of the missing jobs, ... different paradigm.
add confident empty environment growth inventory knows rising shelves suggest
The plunge in inventory accumulation does suggest that firms are not confident enough to add merchandise to their shelves. But they will not be able to do this indefinitely because everyone knows that sporting empty shelves in a rising growth environment is not prudent.
core cost early energy increases jump limited longer mature pass power pricing rest saw seeing today whenever
We still see limited penetration into the rest of the economy. It's too early to say you're seeing pricing power to pass on the energy cost increases just because you saw just a jump in the core PPI number. The world has changed. In the old traditional world, whenever you had mature expansion, you had pricing power. Today with globalization, that's no longer the case.
assured continue fed higher markets push rates remain short term
With this figure, markets can remain all but assured that the Fed will continue to push short term rates higher well into 2006.