Thursday, February 19, 2009
2009 U.S. Economy Called Weak
A bleak 2009 economic forecast offered by Fed chairman, Ben Bernanke. The New York Times (so it must be true!):
The Federal Reserve cut its economic outlook for 2009 on Wednesday and warned that the United States economy would face an “unusually gradual and prolonged” period of recovery as the country struggles to climb out of a deep global downturn.
In economic projections released by the central bank, the Fed’s Open Market Committee said it expected that the economy would contract by 0.5 percent to 1.3 percent this year, that unemployment would rise to 8.5 to 8.8 percent and that inflation would remain under greater pressure. Bleak economic data reflecting a sharpening slide in housing, trade, industrial production, spending and employment rates “more than offset” any potential impact from an economic stimulus plan, the Fed said, forcing it to cut its economic outlook.
Fear reaches new level on Wall Street. LA Times:
The Dow Jones industrials sank 297.81 points, or 3.8%, to 7,552.60 as share prices around the world sank on renewed worries about the health of the banking industry and doubts that governments can patch together a quick economic recovery.
"I have never seen investor confidence lower than it is today," said Al Goldman, chief market strategist at Wachovia Securities.
"It seems to us as if this market has every intent of retesting [its] low," said Keith Wirtz, chief investment officer at Fifth Third Asset Management in Cincinnati. "There's just too much bad news, both now and ahead of us."
If that happens, some worry, the decline could be painful.
And Stocks continue sliding APee:
Stocks extended their declines Wednesday as President Barack Obama released details of his $75 billion mortgage relief plan and investors remained uncertain about the prospects for the economy.
I really like the IFraudius name. That is clever. You have a creative mind, dude.
It IS like a Nazi rally everywhere IFraudius goes, isn't it? It really is. That's why we call his followers Cultists. Or Nazi bootlickers!
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