AUTOREFRESH 
FED: Economists at Goldman says aside from benign a..
By Market News International || March 17, 2010 at 13:25 GMT
|| 1 comment || Add comment
FED: Economists at Goldman says aside from benign inflation, a
“clearly U-shaped” rebound in economic activity once adjusted for the
temporary boost from the inventory cycle late last year is keeping the
Fed on the low for long path. With the inventory boost now largely
behind us, GS says Q1 looks weaker and says there are downside risks to
their 2.5% GDP estimate, noting that bad weather in Feb may put the
burden on March. Nonetheless, the recovery “still looks much too gradual
to warrant higher interest rates any time soon.”
[...] at Market News have an interesting tidbit from the economists at Goldman. Their view is that the US inventory cycle will not continue to boost GDP as it did in the fourth quarter of last year. The Fed should be able to keep rates low for a long [...]