Ian Shepherdson Again Quotations

Given the complete absence of meaningful inflationary pressure evident in the economy now, and -- as the Fed put it, 'tentative evidence of a slowing in certain interest-rate sensitive sectors of the economy' -- we think there is very little chance that rates will rise again in the current cycle.

These data again show that when people have substantial net assets, slower income growth need not kill spending,

These data leave confidence very close to its cycle high, and completely unaffected by higher interest rates. Together with the rise in home sales also reported today, the data sit very uneasily with Mr. Greenspan's dovish tone last week and again today.

The surge in activity is a lagged response to the strength of new home sales, and with mortgage demand now well off its highs -- though still strong -- it probably can't last, ... But there is no reason to expect an immediate plunge, not least because permits rose again in February, for the fourth straight month.

It signals that the labor market has now moved again to center stage in the Fed's analysis and policymaking process.