Gary Thayer Hold Quotations

We got good news on inflation. People anticipate that with inflation still very low, the Fed will stay on hold for awhile.

The Fed will overlook the strength in the economy before Katrina and focus more on getting the economy back on its feet and probably will hold policy steady until we see how the economy is actually dealing with the shock of lost jobs and high gasoline prices resulting from Katrina.

The Fed will probably hold rates steady at a low level as long as they can. And I think as long as the unemployment rate is rising, they'll maintain a policy bias toward weakness.

He's mentioning that the dollar should stay firm and that's been a good factor for our economy. He's been concerned for some time about foreign investors wanting to keep their money here and if we keep our policies in line that should hold for a while.