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To: t2 who wrote (17179)1/25/2001 9:11:12 PM
From: zbyslaw owczarczyk  Respond to of 24042
 
Comments from Goldamn Sachs about Fed next move
( today employent index was below Q4 and expectation what support 0.5% cut)

"
The U.S. is undergoing an ``inventory correction'' that he said may ``get resolved in about three
months.'' If consumer spending falters, that would increase the chance the economy will slide into
recession.

``What he said suggested there's a pretty good case for being more aggressive'' as the economy
slows, said Bill Dudley, chief economist at Goldman Sachs in New York. ``The Fed doesn't think
it'll culminate in recession but they can't be sure,'' he said. ``Safety first'' would support a
half-point cut, he said. "

quote.bloomberg.com