SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Currencies and the Global Capital Markets -- Ignore unavailable to you. Want to Upgrade?


To: Henry Volquardsen who wrote (2774)12/29/2000 8:41:19 AM
From: Zeev Hed  Read Replies (1) | Respond to of 3536
 
Henry, because employment is a lagging indicator, I say they'll wait for 4.5%, if industry was more adept at cutting down employment on first sight of potential problems, that level would probably be in the 4.8% to 5%.

Zeev



To: Henry Volquardsen who wrote (2774)12/29/2000 12:30:41 PM
From: Robert Douglas  Read Replies (1) | Respond to of 3536
 
Henry,

One reason that I think the Fed will be quicker to act is that the real Fed funds rate is too high. The FF less the core CPI is 4% and that is at least 100 bp too high for a "normal" growth rate. If we have a recession, I think the real FF rate will approach zero. The Fed has a long way to go and has every reason to start soon.