Heinz, what do you make of the rather (suddenly) cautious statements from Official Clown Land:
<<Fed's Poole sees upside risk to U.S. inflation
TUESDAY, NOVEMBER 28, 2000 3:45:00 PM EST
LONDON, Nov 28 (Reuters) - William Poole, President of the Federal Reserve Bank of St. Louis, said on Tuesday that the long run risks for U.S. inflation were on the upside.
Speaking to journalists on the sidelines of a conference, Poole that on a three-to-10 year view "the bigger risk we face is that inflation is more likely to rise than fall."
Turning to the recent widening in credit spreads, he said this reflected a growing concern about defaults.
"There is a lot of information to suggest overall credit quality has deteriorated a little," added Poole, who will be a voting member of the U.S. Fed's rate-setting Federal Open Market Committee next year.>>
<<UPDATE 1-Fed's Parry not sure inflation risks under control
PORTLAND, Ore., Nov 28 (Reuters) - Though U.S. economic growth has slowed, Federal Reserve Bank of San Francisco President Robert Parry said on Tuesday the Fed was still not sure inflation risks were under control.
U.S. growth slowed markedly in the third quarter but Parry said he was waiting to see whether the slowdown would last. He predicted fourth-quarter growth would be a little stronger than the third quarter's 2.7 percent annual pace.
"Even though this evidence is pretty encouraging, it's too soon to know for sure if we've really got the inflation risks under control," Parry told the Portland Rotary Club.>> |
