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To: Erik T who wrote (1310)12/6/2000 6:33:24 PM
From: Erik T  Respond to of 74559
 
Of course it will be difficult for the Fed to actually lower rates as labor costs keep rising and the dollar is slowly trending down.

"The department said that unit labor costs, a key measure of wage pressures, climbed 2.9 percent in the third quarter, the fastest pace since a 4.3 percent jump in the April-June quarter of 1999. The new third-quarter figure was revised upward from an original estimate of a 2.5 percent increase in labor costs."

yahoo.cnet.com

Erik



To: Erik T who wrote (1310)12/6/2000 8:37:10 PM
From: Tommaso  Respond to of 74559
 
Yes, the expectation was that they cut and flooded, and just flooded (money) in late 1998 and again in 1999 and that it was an annual event like the Nile River.

The Fed is largely responsible for the bloated condition of the finanancial markets, but individual initiative, otherwise known as folly, is to blame for each individual catastrophe.