It was a short holiday week last week, but the argument quietly raged: How fast will the Fed raise the overnight cost of money, and what will happen as a result, especially to mortgages and housing? New economic data confirms little change New economic data have been a help, if only confirming little change in the U.S. economy. Fourth-quarter 2015 GDP (gross domestic production) was revised upward again, the final up to 1.4 percent. It's a message from Jurassic Park, but it does give us the complete 2015 picture: GDP up 2.0 percent versus 2.5 percent in 2014. Not even a Fed hawk can find acceleration there. We are still growing, despite negatives in manufacturing and exports, and low energy prices still seem to be doing more harm than good. There is always some GDP wobbling from building inventories and running them down -- one main cause of revision. The economy is being pulled ahead by consumer spending, up 3.1 percent in 2015. Why is GDP growing only two-thirds of s...
- We are still growing, despite negatives in manufacturing and exports, and low energy prices still seem to be doing more harm than good.
- There have been slim gains in wages -- but very low unemployment, suggesting increases ahead -- and falling productivity.
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