Steven Wood Sharp Quotations

Huge swings in energy and motor vehicle prices have masked a sharp retreat in core producer inflation over the past 6 months.

The sharp slowing in domestic demand has dramatically reduced imports. Weakening economic activity in our major trading partners has significantly reduced the foreign demand for American-made products.

Although the (Fed) will not be pleased with the sharp decline in productivity growth over the past year, they will view it as a cyclical phenomenon rather than a retreat from the productivity-led expansion of the past 5 years.

Sharp production cuts will continue to bring down inventories, which will set the stage for the economic recovery when spending revives.

This month's modest gain indicates that the sharp rebound from the post-Hurricane Katrina meltdown has been completed. The gentle slowing trend that had been in place for much of 2005 may have been halted, but it is too soon to tell with any confidence.