Thursday, May 18, 2006
As I said last week, I'm still inclined to think we are going to 5.25%. David Altig reads the futures market as saying no, but I'm going out on a limb to say they'll reverse that judgment very soon.Barry Ritholz commented he was too. Well Barry's crowing now with the new inflation data and everyone seemingly rushing to our bandwagon. Nattering Naybob deserves honorable mention too. Altig reviews the reviews and says wait for the PCE report next Friday.
I won't crow quite so much, because my read on the economy isn't so much a galloping inflation as a galloping real economy. But nevertheless, look for that rate move in June, and then great GDP numbers at the end of July. Let's see if I ever link to this post again.