Posted on 03/01/2014 5:56:07 AM PST by Red in Blue PA
Developed-country equity markets rebounded this week, showing some reasonable improvement. The S&P 500 Index was up over 1% for the week, with other developed markets tracking just slightly behind. Emerging markets didn't fare as well, showing little change with ongoing concerns from China related to their lending policies and currency management. Not surprisingly, commodities were slightly down for the week, and interest rates ticked downward slightly with the U.S. 10-year Treasury bond now yielding 2.68%.
This week's data seemed to indicate that the economy wasn't making much progress in either direction, and the fourth-quarter GDP growth rate was downgraded to 2.4% from the previous reading of 3.2%. The bond market and commodity markets both seem to doubt the probability of any rapid improvement in the economy. Equity markets seem to be benefiting from the lack of many alternatives and declining interest rates since the beginning of the year, which came as a complete surprise to most investors.
(Excerpt) Read more at news.morningstar.com ...
Is this clown an Obamabot or what.
The US media is a DNC front group .
However, panic is in order whenever there's a Republican president.
I have an idea... why not just transform the GDP formula. If done right, we would upgrade to 0.6%.
What specifically do you refute?
I see numbers that appear to be accurate. The down grading of the 4 th quarter figures would appear to refute your thesis.
If the writer were an Obamabot, that would have been omitted as bad news to be forgotten
Can you just imagine how all of this continuous bad economic news would be reported under a Republican President??
If there’s one thing investors don’t like it’s uncertainty. Yet what could be more uncertain than the U.S.’s quarterly GDP numbers, as evidenced by the large discrepancy between the fourth quarter’s original figure and yesterday’s update. This is a normal occurrence.
The only certainty about America’s economic numbers, on which investors depend to make decisions, is that they will be wrong.
So why do investors continue to have confidence in us? Probably for the same reason they had once confidence to invest in worthless dot.com stocks at $100 a share; or in Fannie Mae and sub-prime mortgages. Reality is about to descend on us.
Who are you trying to fool here.
the housing market has ben gamed by the hedge funds an banks sucking up the
inventory to artificially drive up the market.
Wall street is massively overvalued and ready for a huge correction.This clown is hiding the real facts the GNP has nosed dived for 6 years !
I don’t think they are “gaming” anything, they realize that middle America is changing from owners to renters as the Baraqqi Depression grinds on. All the stuff investors are buying around here is small/moderate size in neighborhoods with good school systems.
Carlyle is buying trailer parks. That tells you what the smart money thinks about the future.
Just to be fair, this guy, Johnson is not in the media. He is the top economist for Morningstar, a financial services company. He has no reason to be biased towards one party or another.
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