Economy Strengthens!

[Donn]

Producer Prices Drop, Trade Gap Narrows

1 hour, 44 minutes ago
By Tim Ahmann

WASHINGTON (Reuters) - "U.S. producer prices dropped unexpectedly last month as the cost of gasoline plunged and prices of food and vehicles fell, according to a government report on Friday that showed inflation pressures under wraps.

A separate report showed the nation's trade deficit narrowed more than expected in July as imports declined for the first time in 10 months and exports leapt higher."

[Meerkat]

Fertilizer Deepens!

[km gresham]

Shhhhh! Kerry doesn't need this news just now! ;)

[Donn]

Flowers Grow!https://www.jelitto.com/images/echinacea.gif

[Kev Smyth]

"Bushes" and "Shrubs" thrive! :D ;)

[George.]

I'll believe it when the Euro weakens, meaning everyone else believes it, too.

[Dan McCosh]

I thought prices dropped in response to weakening sales, i.e. a weakening economy.

[Gary E]

But isn't Bush sposed to be bigga pitcher guy??

Big Picture

New record levels of imports and exports are now a monthly occurance. Higher petrol prices and import demand for inventories offset the gains tied to the weaker dollar to leave a record deficits from January through April and a record shattering level in June 2004. Rising import demand provided the upward direction in 2002 as strengthened global demand (exports) and the weakened dollar value left a slimming deficit in 2003. Imports are again the leader in 2004 as the large size of the deficit is eyed for further effects on the dollar as trade deficits demand an equal but opposite investment inflow.

[Donn]

This is producer prices, Dan. They go down, and the cost of production goes down, and the economy grows.

[Donn]

I suppose, Gary, that you would prefer that the numbers continue to be bad, rather than showing improvement? Interesting take. :rolleyes:

[Alan D. Hyde]

It is the Black Sox who have ruined the Democratic Party.

No Landis to throw them out.

http://www.baseballhalloffame.org/hofers_and_honorees/hofer_bios/landis_kenesaw.htm

Alan

[Gary E]

When producer prices fall, they do not have price power to raise prices, the output will not necessaceraly grow and since those that want to buy know that the price will remain low, there is no incentive to "buy it now" may as well wait for a price reduction. Then the profits of the producers are squeezzzed even tighter and the earning revisions are heard all over the street as is happining now. Whwen that happens the earnings are slimmer, and they start cutting dividends, and since the institutions dont need that they start selling stock and buying bonds and then there are more stock sellers than buyers and guess where the price goes. Care to look where the DJ or the SnP is for the last year? Not pretty.

[Gary E]

Donn,
It;s NOT what I WANT...
IT's FACT.. that's all. JUST FACT

[Domesticated_Mr. Know It All]

Ra Ra Sis Boom Ba!!!!! :D

http://www.funny-city.com/photos/images/219.jpg

[Donn]

I'm not even going to try to make heads or tails out of everything that preceeds this:


Care to look where the DJ or the SnP is for the last year? Not pretty. DJIA & S&P 1-year

http://ichart.finance.yahoo.com/z?s=^DJI&t=1y&q=l&l=on&z=m&c=^GSPC&a=v&p=s

10% seems pretty to me.

[km gresham]

smile.gif Good news for Americans = bad news for Kerry.

[ 09-10-2004, 07:11 PM: Message edited by: km gresham ]

[huisjen]

...since Herbert Hoover!

Dan