Posts Tagged ‘Business Cycle’
Interesting Impact
While interest rates are on the rise, so is economic growth. At this stage in the business cycle, growth has the upper hand. While rising interest rates dampen home buying activity, better growth and the concomitant increase in employment more than make up for it. That is why I expect new single-family construction activity to…
Read MorePolitical Problems Pemeate
A lack of progress over the U.S. debt ceiling and intensifying contagion concerns in Europe (Portugal, Spain and Italy may go the way of Greece and Ireland) have triggered a further flight-to-safety; equity markets are generally in retreat and quality government bonds are rallying. The weak job numbers make the possibility of QE3 more likely;…
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