To: IndexTrader who wrote (40388 ) 2/16/2000 7:13:00 AM From: Haim R. Branisteanu Read Replies (1) | Respond to of 99985
Susan, the BLS just changed (adjusted) the weight of the components in the PPI so that it should show lower readings. TOday they will publish heir spin on the CPI. Today Tuesday, the U.S. Bureau of Labor Statistics issued revisions to PPI and the new data show a slightly lesser increase in December, +0.1% versus the original +0.3%. The revisions occurred because the BLS put new weights on product groups and set new monthly seasonal factors. The weights put less emphasis on crude oil and more on other "supplies." As expected, economists are now putting a new spin on January seasonals. Keep in mind that inflation is moving up quite strongly due to low unemployement, oil prices and rise of commodities in general. Wen the public at large will notice it will be to late. and accross the ocean London, Feb. 16 (Bloomberg) -- British wages rose in the fourth quarter at the fastest pace in more than a year and unemployment declined in January to a 20-year low, a government report showed, sparking concern that inflation will accelerate. Wages grew a greater-than-expected 5.5 percent from the same quarter a year earlier, the biggest gain since the three months ending July 1998. Services companies, such as banks, Internet and telecommunication providers, have reported labor shortages and they have been most aggressive in boosting salaries. The policy of strong dollar combined with strong oil prices are hurting Europe and Japan much more than the US. The huge trade deficit will come back and bite the US consumer, the dollar will slide to steem inflation AG will need to raise rates even more. The stock mania is out in full force and J6P and LTI's just buy stocks that move up. Best example for comparison IBM vs. SUNW or AOL vs. YHOO or WMT vs AMZN BWDIK Haim