Wall Street Could See Volatile Week

[Career Prole]

NEW YORK - With Wall Street's fears of inflation confirmed by the Federal Reserve, investors are now looking for proof that the economy will be strong enough to handle the increased pricing pressure and additional expected Fed interest rate increases.

On Tuesday, the Fed raised its target for the overnight bank loan rate by a quarter point to 2.75 percent, the seventh in its current cycle of increases. Trading in federal funds futures suggest that investors are betting that central bankers may follow that with a half point hike in either May or June.

That leads Wall Street to two important questions. Will consumers be able to handle higher prices now that parts of corporate America appear to finally be gaining pricing power? And will companies be able to continue expanding as the cost of raising capital rises?

The answers will start coming in the week ahead as key pieces of economic data will shed light on the strength of consumer spending and the health of the overall economy. And that could lead to a volatile week on Wall Street...

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Any speculation on da chimp's brave new economy?
I for one am heartened that cracks are starting to appear in the MSM dike regarding pessimistic reporting on the economy.
If people don't know shrub broke it there's no outward pressure on him to fix it.

[Warpy]

1. Wall Street's "pricing power" is gonna run into a brick wall

since outsourcing and downward pressure on wages have created a real crisis in "buying power."

Shrub's brave new economy has all the hallmarks of starting to slide into a deep recession and possibly all the way into depression.

And he doesn't have a clue. His dogmatic echo chamber doesn't have a clue.

Hold onto your hats, folks, it's gonna be a bumpy ride.

[Career Prole]

3. Hopefully all here with something to shelter have done so already.

It would be poetic justice at its best if the only ones who lost big were those with the most faith in the monkey at the wheel.

[Career Prole]

2. I was a bit flabbergasted by this in the article

On Friday, the Labor Department (news - web sites) will release its monthly job creation report, one of Wall Street's closely watched barometers. Economists are forecasting that the economy added 225,000 jobs in March, down from a gain of 262,000 in February. In this case, a number slightly above or below the estimates would be ideal, since very low job growth calls into question the state of the economy, while high job growth could increase consumer demand and result in rising prices.

So...all that time "they" were expressing hope for higher job creation numbers wasn't for the sake of the jobless after all?!

Evidently, since now "they" say lower job creation numbers would be "ideal" now.

Damn...they were only concerned about the stock market? Surely they don't mean to imply that they never gave a hoot about people being unable to feed their families?
/sarcasm off

[patricia92243]

4. The answer is to put SS money on Wall Street to help prop them up :(