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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club -- Ignore unavailable to you. Want to Upgrade?


To: Jeffrey D who wrote (5587)6/4/1999 9:38:00 AM
From: Wally Mastroly  Read Replies (1) | Respond to of 15132
 
Jeff, Re:What creates more potential for inflation?

The nature of the Feds (& economists) analysis is to look under every rock for signs of inflation. The slightly higher than expected increase in hourly wages could provide such a sign.

The slower job growth is trickier to analyze. Is it because the need for more employees has slowed (i.e., slow demand for products/services) - or is it due to a lack of workers with the right skills (in the right geographic areas where they are needed) ?

Brinker has mentioned the possibility of insufficient numbers of skilled workers having a dampening affect on the U.S. growth rate.

Loss of jobs in the manufacturing area may be keeping wage inflation down somewhat. (Increases in some lower paying services jobs but decreases in usually higher paying manufacturing jobs).

- Manufacturing industries have shed 422,000 jobs over the past year.....

Both bulls and bears can find some piece of data in the report to support their view.

Take care,

Wally

Some more:

cbs.marketwatch.com