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Strategies & Market Trends : Mish's Global Economic Trend Analysis

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To: Knighty Tin who wrote (9602)7/20/2004 2:48:56 PM
From: mishedlo  Read Replies (2) of 116555
 
Greenspan hawkish
Last damn thing I expected

Greenspan says period of low rates must end By Maggie McNeil
WASHINGTON (CBS.MW) -- Federal Reserve Chairman Alan Greenspan said the period of low interest rates must end. In his semi-annual report on monetary policy to the Senate Banking Committee on Tuesday, Greenspan dismissed concerns about recent softness in economic data. He said that the risks of tightening were outweighed by leaving low rates in place as the economy improves. Greenspan said the economy was prepared for gradual rate hikes and also could handle "less gradual" rate increases if necessary. Greenspan said the Fed was not yet sure whether the benign inflation environment would persist or if there were more deep seated forces at work pushing prices higher. The Fed will pay close attention to incoming cost and price data.
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