Tuesday, December 18, 2007
Christmas Cheer?
Weakness continues for stocks on uncertainty and stagflation concerns. The Dow fell 172.65 points Monday to close at 13,167.20. The S&P 500 lost 22.05 points to finish the session at 1,445.90.
Former Fed Chairman Alan Greenspan got things off to a bad start by stating over the weekend that he sees the odds of a recession in 2008 at even. He also noted that stagflation is a succinct possibility as well; which occurs when inflation is on the rise, yet economic growth slows. Economic data has been mixed with some data showing surprising strength and low inflation, but other releases showing just the opposite.
On Monday, the Empire State Mfg. Survey fell more than expected with the index dropping to 10.3 in December from 27.3 in November. However, the index remains in expansion territory with the prices paid component falling to 35.0 from 42.9. In other news, the housing market index came in at 19, the same as November, matching the record low. The National Association of Home Builders also moved backs its expected recovery date to late 2008.
Ho, ho, ho.
Until next time.
Former Fed Chairman Alan Greenspan got things off to a bad start by stating over the weekend that he sees the odds of a recession in 2008 at even. He also noted that stagflation is a succinct possibility as well; which occurs when inflation is on the rise, yet economic growth slows. Economic data has been mixed with some data showing surprising strength and low inflation, but other releases showing just the opposite.
On Monday, the Empire State Mfg. Survey fell more than expected with the index dropping to 10.3 in December from 27.3 in November. However, the index remains in expansion territory with the prices paid component falling to 35.0 from 42.9. In other news, the housing market index came in at 19, the same as November, matching the record low. The National Association of Home Builders also moved backs its expected recovery date to late 2008.
Ho, ho, ho.
Until next time.
# posted by Paul @ 1:57 AM 
