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Several central banks including the Fed meeting this week -- son be ready to act or -- added stimulus even help that the solution to fix this global economy.
Joining us to talk about these questions and more is John Silvia Wells Fargo chief economist -- it's great to see you.
Listening to our report out of Europe just now what are your thoughts on whether or not the central banks are gonna have to fire the printing presses.
Well I think the ECB isn't slightly different position of the fat.
I don't think the federal do one thing -- continue operations quest but I -- think ECB well lacked.
Is there a time frame for that and part B of this question do you think it will be a Courtney.
Effort there had been some speculation that the Fed would act whether or not -- expect extension of the twist to your point in in September.
Is that -- the timeline that we could see some.
Some interaction here.
While it's respect the ECB would probably act a little bit ahead of that -- I -- I am sympathetic to the point that the effective probably wait.
A month or two for another set of economic data before making a decision but I don't think ECB -- got that much time.
On its hands I think they really do probably will act a little bit ahead of September and that'll be again no more purchases of sovereign debt.
Are you confident -- all of these.
Comments coming out of the ECB -- me at all suggesting they will do would it take -- keep Europe together.
While the keeping Europe to gather I think -- is one aspect of the story.
I don't know that we'll keep everyone in Europe together.
-- because simply the economics and tends to lack of growth thing grace of Freddie top.
But again you know yes you can keep them together but at what growth right what is the price of keeping them together in terms up.
Currency weakness Ohio inflation I think that's the question we need to be asking -- you can stay together the what's the price.
Absolutely and if you look around the world I mean growth rate is.
Near zero we had her own economic excuse me GDP reading -- -- last week one -- -- how to -- that we had the OMB midsession review to congress wait right suggesting that unemployment.
Is going to be around for years and years to come.
So is -- catalysts -- from.
What can you deal.
Well I think from the Fed's point of it is very little they can do this -- a lot of research for example.
Up published by some the Fed districts suggesting that each quantitative easing will.
Has had less and less of an impact on interest rates and I for one don't think interest rates of the issue.
I think it's just a lack of confidence or visibility looking out six months of the year in terms of what -- conditions in the economy and what can we expect.
You know you mention the Fed and it's got some more data points -- consider before making.
Its decision on how to proceed from here obviously Friday's July payrolls report everybody's -- into -- let me get your expert opinion on what to look for what to expect -- -- thinking John.
Well what we're looking far as perhaps a 100000 at this point we'll update it after the ISM number comes on on Wednesday.
-- right at eight point 2%.
But -- -- is kind of intriguing when you reading the latest FOMC minutes it seems like -- going a little bit impatient with.
8% plus unemployment some may -- -- in a matter of you know making progress any means the lack of progress and lower unemployment.
Men make the Fed move perhaps in September I will keep our -- that went -- report and Friday's for sure John thanks for setting us up as we appreciate it got him.
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