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Feds Barkin on Bloomberg says:
- Data shows economy on same trajectory as last year or two
- Low unemployment and inflation moving towards target.
- Will have to see how consumers react to price changes.
- Seeing lots of hiring freezes.
- Businesses are still largely pulling to the sidelines.
- People are patient on investment, does not see a case for businesses to cancel investment plans.
- Thinks business sentiment is a very good indicator
- Government spending cuts are having an impact on employment, job positions particular in the DC area
- Consumer spending has historically correlated with consumer sentiment, but it has been questioned over the last couple years.
- Does not see in real-time data that spending is dropping.
- Consumers are anticipating inflation and that has hit sentiment, no evidence yet that has translated into less spending.
This article was written by Greg Michalowski at www.forexlive.com.
