Monday, January 28, 2013

Optimism

Everybody seems to be getting on board with making optimistic predictions for economic growth this year, but I think it's still a little early to be jumping on the bandwagon.  The data that I'm seeing is, well, old data that doesn't reflect the tax increases that went into effect earlier this year.  Still, we do have the Fed pumping more cash into the financial markets, so I don't see much at all to worry about at this point, unless the reports of planned increased hiring come to fruition, in which case, we may see inflation begin to tick up and the Fed put an end to the easy money available in financial markets.

1 comment:

Kirk DeBaun said...

JP Morgan is actually calling the Dow at 20,000 in 4 years, or 10% per year. Of course, that's actually not great, considering the Dow is up about 6% this month.