Santo & Johnny ~ Sleepwalk
Some good news about the economy is in the offing. Bernanke sends soothing message on inflation
Translation from Fedspeak: Don't look for any more interest rate increases any time soon and it looks like some stability in the market is occurring. I've been saying for months that I expected to see the market trade sideways until August or September and then start moving forward again, as long as oil prices stabilized or dropped a bit. That is exactly what is happening. We are not completely out of the woods yet, but I do believe that the worst may be over. And remember, the economy has not contracted yet. Growth has slowed a lot, that is true. But the macro economy has continued to grow.
"JACKSON HOLE, Wyo. (MarketWatch) -- Federal Reserve Chairman Ben Bernanke sent a soothing message to global markets Friday, saying inflation was on track to moderate in coming months, and triggering a rally in stocks on speculation that means the Fed will keep interest rates low for the near future.Recent developments in commodity prices and the dollar, combined with slower growth, should lead inflation pressures to ease, Bernanke told policymakers and leading economists attending the Fed's annual retreat in Jackson Hole. The recent decline in commodity prices and the increased stability of the dollar have been welcome trends, Bernanke said."If not reversed, these developments, together with a pace of growth that is likely to fall short of potential for a time, should lead inflation to moderate later this year and next year," Bernanke said."
The sun will come out tomorrow.
~ 3 WOOD
Beatles Cartoon - Good Day Sunshine
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