Sherry Cooper Quotes (69 Quotes)

However, there are deepening questions as to how far they will go beyond that point, especially given the looming hit to growth from the spike in oil and gas prices and the renewed Canadian dollar rise.

Despite slowing job growth momentum, the Fed is going to pay attention to the diminishing slack (the 5 per cent unemployment rate could be as low as 4.8 per cent if not for the hurricanes) and the pickup in wage pressures,

When the 10-year yield got to 4.4 percent Tuesday, I said this was probably a short-term buying opportunity and that we would see some correction.

There is no longer a shadow of doubt that the U.S. economy is downshifting rapidly the only question is how deep the slowdown goes, ... We do not expect to see recession in 2001, but we certainly expect to see significantly slower growth with continued moderating inflation.

Despite the pop in core PPI inflation in July, there appears to be little pressure lurking on the horizon in the near term. The pipeline measures remain subdued and vehicle pricing appears to have distorted the figures.

We wouldn't want everyone to go running out and dump all their investments and bury cash in their mattresses, because it would only accelerate the crisis - at least the financial crisis. But I don't believe people would do that anyway.

No surprises for the bank, so no shift in the policy program.

The Canadian poultry industry is, in general, little dependent on exports or imports, but new provincial rules forcing the confinement of birds make the practice of free-range raising more difficult.

The great post-Katrina inflation scare has vanished, with gasoline prices coming back down to Earth and core inflation on track to match the Bank of Canada's latest estimate of 1.6 per cent for Q4.

Even so, While sales are slightly below their peak levels of late 1998, this sector has hardly suffered a body blow from the run-up in long-term mortgage rates, ... Until the housing sector slows significantly, it is far too premature to look for a broad-based slowing in the economy.

A major outbreak would lead governments everywhere to shut down their borders, or, in effect, ground airplanes, because people would not want to travel, and that would be the end of the major trade in goods and services, at least for some period of time, ... And, given our global supply chains, there would develop shortages in many, many goods, many products, across the world very quickly.

There is good financial-market news everywhere you look in this report.

I do believe there is still evidence that the economy is red hot, and I think the Federal Reserve will be monitoring the income numbers closely to decide whether to go 25 basis points or 50 at their upcoming policy meeting.

The modest downtrend in order growth is pointing to some moderation in the months ahead.

Wages are still running a bit hot for comfort, the jobless rate is still quite low and the underlying trend in employment (especially full-time) remains strong.

that the coming holiday season will be rosier than earlier expected.

The inflation data does not take the Fed out of the picture. It does, however, remove the risk of the Fed having to tighten 50 basis points on June 30.

The economy is in very good shape and people don't realize it. We really do have low inflation and low unemployment, and the economy has been growing at a rate of 3 percent or better since the last recession.

About six months ago, there was really no concern, and I think it makes sense to be concerned.

What little data I've seen suggests that only about 25 percent of businesses have taken deliberate, serious action. And certainly the larger corporations would be the ones that would begin the process. Let's face it, a small company probably would not have the capability of taking very dramatic action.

These figures reinforce the slowdown view, ... The weakness in confidence increases the odds that a sustained soft landing is moving into place.

The bank's new focus is likely to be on rising wage pressures, but that still seems a distant inflation threat at this point. On balance, there is nothing here to divert the bank from its gradual tightening course.

Birth rates would plunge and the average age of the population would increase significantly.

It certainly affects psychology, but if the job market starts growing, that effect is far more important to psychology than something that's happening half a world away.

U.S. consumers are feeling the benefits of higher incomes and are spending more to reflect their good moods, ... Buoyed by record confidence, income growth, and a super-tight jobs market, the consumer is showing no signs of slowing and should continue to propel the U.S. economy.

The Christmas season this year might well bring cheer, but consumption growth next year is bound to slow, ... From an annual pace of nearly 4.0 percent in 2004, consumer spending will likely grow at a 3.5 percent rate this year, decelerating to a 2.25 percent pace in 2006.

The Fed might have been in a dilemma if signs of slower growth were coupled with signs of a wageprice spiral. However, that is emphatically not the case. The underlying inflation outlook is not a problem for the Fed or the financial markets.

Armed with the weaker U. S. dollar, commodity prices heading north, and a strengthening economy, rising inflation pressure is still likely to emerge as a concern for the Fed. But not yet. Not yet.

On balance, headline inflation has likely peaked, but the core rate is at the top end of the Fed's comfort zone, which will keep chairman Allan Greenspan's foot firmly on the brakes,

Predicting the long-awaited U.S. economic slowdown can be a risky business,

So I don't think the number was quite as weak as the headline.

My take is that the Fed will continue to raise overnight rates until it feels it has moved from a stimulative to a neutral policy stance. That will likely take the funds rate to 4 per cent-to-4.25 per cent by yearend.

Bearing in mind that the Fed wants higher inflation, the news is not unwelcome. And the market will remain firmly in the camp that the Fed will not tighten soon, ... Nevertheless, the risks from the PPI are easy to see and look real in light of the big decline of the dollar and rise in import costs that preceded them.

The future path for monetary policy depends critically on at least a flattening out of interest-sensitive spending, ... It is touch-and-go whether the softness in interest-sensitive spending is sufficient to be consistent with the required degree of overall economic slowing.

The big dip in inventories is a good sign if we are looking for a glimmer of hope here. Maybe we are at a stage where production can pick up again.

This report does not give the Fed clear guidance that core inflation's rise in the PPI is topping out, ... It does, however, hint in that direction.

Inflation in the U.S. remains virtually non-existent, as does corporate pricing power.

All in all, the year-over-year trend in income jumped to 6.1 percent from 5.4 percent, suggesting that consumer fundamentals remain very strong, ... Consumer spending remains on a tear.

While this report yielded few surprises, it simply highlights the relentless strength in the economy and provides more ammunition for the Fed to continue tightening policy,

Financial markets want the Fed to signal possible easing ahead due to the growth slowdown and stock market declines. However, the Fed will be reluctant to do that while CPI core is still accelerating.

Investors appear to view the growing shortfall as a natural by-product of robust U.S. growth and not a sign of flagging competitiveness, ... The concern for financial markets is that if this view ever changes, the fallout would occur rapidly.

(Today's data) will likely keep the Bank of Canada on track for a rate hike at next week's decision,

They are joined by large numbers of peasants whose land is indiscriminately expropriated to feed China's breakneck industrial expansion. The land grabs, which are often orchestrated by corrupt local leaders and offer little compensation, leave farmers few options. They remind me of the deportation of the Jews out of Europe to the Warsaw ghetto, ... It's a horrible thing.

Today's US employment report, though not a blockbuster, certainly portends at least a 3 growth rate in the second quarter.

This will provide some offset to the drag caused by the hurricane's direct damage and flooding, which, along with the massive amounts of money being deployed in the affected area, suggest that the ultimate impact of Katrina on GDP might prove more fleeting than first thought.

While much of the growth surge reflects stellar productivity gains, this pace of growth is way too strong for the Fed,

Overall, this can be viewed as more evidence that the consumer is hanging in well despite the run-up in oil prices and growing equity market volatility.

October and November ... sales each registered substantial gains (excluding autos), pointing to a reasonable fourth-quarter consumer spending figure when all is said and done.

The markets are assuming that the Fed are finished tightening for the year, ... That presumption might prove to be premature. We, and the Fed, will wait and see.

It's a great number obviously, and that's a sigh of relief, but I wouldn't put too much into the decline of the core,