Strong tailwind

Steidtmann, Carl
November 2006
Progressive Grocer;11/15/2006, Vol. 85 Issue 17, p133
Trade Publication
The article forecasts the increase in consumer spending in the U.S. in time for the holidays. Strong demand from Asia, hurricane devastation in the Gulf of Mexico, and political instability in the Middle East have all added to upward pressure on prices. However, in early August, gas prices have tumbled. The drop in energy prices is reducing cost pressures on businesses, and is also cutting into inflationary expectations about the future. A drop in inflationary pressures is the key to future Federal Reserve policy.


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