SHOCKER! "Fed report: Economy continues to cool"...NOT "gettin' stronger"

[Human Torch]

Fed report: Economy continues to cool
Growth tepid or flat as central bank to take up rate hike later this month

http://www.msnbc.msn.com/id/14701507/

WASHINGTON - The economy ambled into the fall steadily but unstartlingly, with fresh signs of a slowdown as consumers watched spending more warily.

The Federal Reserve’s latest survey of America’s business climate, released Wednesday, found that “economic activity continued to expand ... but five districts indicated deceleration, while the remaining seven reported little change in the pace of growth.”

People held back, especially, on spending for automobiles and household items. The survey is based on information supplied by 12 regional Federal Reserve banks and collected before Aug. 28. That snapshot will figure into discussions at the central bank’s next meeting on Sept. 20.

Many economists believe the Fed will hold rates steady at the September meeting. Others, however, think a rate increase could be in store then or perhaps later this year to thwart inflation.

[bluerum]

1. Whu? 10,000 layoffs at Intel is not growth? nt

[lvx35]

2. I am SHOCKED.

How could spending half a billion on the Iraq war not help our economy!?! :sarcasm:

PS, out of curisosity, what's the picture in your sig, HT?

[Human Torch]

5. The finale of "Walk The Line"...

...Johnny Cash (Joaquin Phoenix) lifting June Carter (Reese Witherspoon) in the air after her acceptance of his marriage proposal. EXCELLENT film. Highly recommended.

:toast:

[cspanlovr]

3. Who could have ever anticipated the economy doing badly?

:sarcasm: :hi:

[Wiley50]

4. A rate hike isn't to thwart inflation

It's to thwart foriegn investors from stopping buying our phoney paper T-bills

[Warpy]

6. Exactly, although they can legitimately point to inflation

as a justification. That the inflation is caused by our Fuckwit in Chief and his disastrous economic policies and the subsequent continued decline in the dollar is beside the point. Just like they never admitted inflation in the 70s was due to Nixon/Ford's bungling of the OPEC threat, blaming it on greedy working class people who wanted enough to live on, they'll continue to blame the classic but erroneous rubric of too much money (in the hands of working people) chasing too few goods.

Some wonks have been yapping about a possible rate reduction in December. That is not gonna happen while the dollar continues to slide downward.