IMO- For the biggest banks Isn't it always about kicking the can when it comes to bad debt. If the US economy slows from here. I do believe D. Trump has another rabbit up his sleeve? From the post below. I do believe Alan Greenspan just made a good case why the US economy now needs the Trump US Infrastructure package, and it's passage. From him once being a rock star at Davos, by lowering US corporate rates to attract Global business to the US. IMO he's Currently an economic thorn In the EU recovery effort. This by way of reciprocal tariffs. Who can outlast who? Ben Bernanke & Janet Yellen were not going to let anything catastrophic happen on their watch. IMO Powell will start to be a dove to if things slow to much.
Greenspan says economy is already slowing
Published: June 13, 2018 11:10 a.m. ET
Alan Greenspan, former chairman of the Federal Reserve, said President Trump’s assertion that the trade deficit proves U.S. consumers are being ‘ripped off’ is wrong Former Federal Reserve chairman Alan Greenspan said Wednesday the U.S. economy is already slowing down.
“The presumption that we are going up from here — I think is wishful thinking,” Greenspan said, in an interview on CNBC.
Economists believe second quarter GDP could top 4% after strong gains in consumer spending and personal income, but Greenspan dismissed these as overly optimistic.
“Most forecasts that I’ve seen, which I find credible, show that while we are currently close to the 3% annual rate, we are not going to stay there,” he added.
Greenspan said the economy is moving from stagnation into “stagflation,” a damaging environment when inflation picks up and growth wanes.
“I don’t see how we get out of it,” without entitlement reform, Greenspan said.
He said the Trump tax cut and efforts to lower regulation on business are positive forces.
“If it wasn’t for those factors, we’d really be in the soup,” he said.
marketwatch.com |
