59 Quotes by Joshua Shapiro

The Fed tipped its hat to the fact that growth has slowed a bit, and blamed it on energy prices,

The Fed comments were fairly unsurprising. They indicated that there is more tightening ahead, and that the pace will be determined by upcoming data.

In general, consumers seem to be taking the view, at least initially, that higher energy costs will not disappear anytime soon and that they are likely to take a toll on the economy as a whole and on labor markets in particular.

If you get a big number next week, people will say great, the labor market is finally recovering, this is the last piece in the economic recovery, ... But they'll also say, well maybe now the Federal Reserve will raise interest rates sooner.

In the third quarter, trade will resume its role as a weight on growth, but we are still likely to see a robust G.D.P. picture.

Clearly, as this sales data and also the mortgage application data show, there is plenty of strength still in housing. However, is this, as we speculate above, fence-sitting buying ahead of perceived rate increases, or can this pace be maintained as buyers think that low rates will last for the foreseeable future?

Housing has peaked and we're expecting some moderate weakening in 2006. It's starting to turn into a buyers' market, with fewer buyers chasing more homes at these mortgage rates.

Housing has peaked and we're expecting some moderate weakening in 2006.

I don't see the comments from these two representing a change in the Fed's policy. Everyone knows that rates this low can't last, but the same issues remain -- 'When do you raise rates? What is the right timing'?