14 Dec 2012

Posted at 14:04h in The Friday Brief by
The US economy likely slowed substantially in this current quarter under the weight of political uncertainty. The best clue comes from Federal Reserve Chairman Ben Bernanke who said, “Clearly the fiscal cliff is having effects on the economy," he said, referring to the combination of expiring tax cuts and scheduled spending cuts set to begin early next month. "This is a major risk factor right now.”

02 Mar 2012

Posted at 10:41h in The Friday Brief by
It is now two and a half years since the Great Recession officially ended. The 18-month downturn was the longest and most severe since World War II according to the National Bureau of Economic Research, a private, nonprofit research group which officially calls the beginning and ends of recessions. But things are getting better you say. Why bring up the ugly past? Some economic data have indeed shown improvements, particularly of late. Manufacturing has been a steady stalwart of the recovery. Exports have been generally strong for months, while the much touted automobile industry has made a ‘remarkable’ turnaround domestically. GM regained the lead over Toyota for goodness sake.

22 Jul 2011

Posted at 13:53h in The Friday Brief by
As the clock ticks with little more than a week to go before the August 2 deadline, Democrats and Republicans say they are no closer to a deal to raise the debt limit and cut spending. The latest out is that Obama and House Speaker John Boehner may be close to a deal. Even though details are sketchy, Democrats are critical of it because spending would be immediate and tax increases would come only later, if at all. 

24 Jun 2011

Posted at 14:27h in The Friday Brief by
The US economy grew at 1.8% in the first quarter according to the Commerce Department’s second and unrevised estimate. Following their monthly meeting, the Federal Reserve said they still expected the economy to recover, but reduced their 2011 GDP growth estimates from 3.3% - 3.7% to 2.7% - 2.9%. They forecasted growth of 3.5% - 4.2% in 2013. Forward looking stock investors have taken the S&P 500 down 5.9% from its April 29th high, but the index remains up 3% for the year. Bonds on the other hand have done well as the economy slumps. The Barclay’s 7-10-year Treasury index is up 5.5%.