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Was I don't Washington is focusing on the IRS controversy.
-- makers could be dropping the ball when it comes to.
You know capital president James first playing is there.
Is that what doesn't -- EEI director of economic policies -- can it has that.
-- this is -- look at I don't take this question to you first I mean -- -- lawmakers are so focused on the IRS the nation date.
But are they dropping the ball when it comes economic concerns corporate tax regulations for instance.
Sure -- I think that's absolutely what's gonna happen you know they're going to be playing with the Steve Miller Band there for awhile trying to track down what these -- have done.
It's gonna take a long time it's going to be really important because it's it's really goes right to the heart of our democracy.
But that's gonna push all economic policy making I think far off into the fall.
Right now it looks like with the positive deficit news that we're getting that they probably won't get the debt limit until about the end of the year.
It's -- there's no real reason to act between now and then and they probably -- they're just gonna have one hearing after another was this -- -- HP scandal and all the other things going.
-- -- Gaza as well then and what would you certainly crucial stories but again the focus is not on the economy here regiment invested a prominent new.
Look at the markets today I mean we've got equipment -- 151305.
Was our session -- a new record for the markets.
All the attention is focused on you know on.
-- I think that shows you actually where the market folks are focused and and where.
Let's say other people are focused you know these are moments when life is far more interest in -- -- -- -- Ghazi IRS scandal the AP.
Even the issues with Bloomberg right now and that's getting a lot of headlines but you're right the market continues to drive forward.
The primary reason of that is the Fed continues to put -- -- -- provide the accommodating and and the stimulus necessary to do it.
Keeping rates low companies are doing more with less there by the recovery has been slower than we would like but you -- good improvement in jobs.
And you -- housing market continue to -- forward.
That's allowed consumer sentiment to.
At its best numbers six years so the economy itself continues to do some good things despite these headlines and to a certain extent it it just highlights of me how the Fed.
Is it is a driver not the gridlock and -- -- -- Washington.
And you know -- -- mean you know the -- -- really has been another driver of the markets -- -- certainly with keeping interest rates they are in QE3 85 billion a month that means the market actually took a little bit of a pause earlier this week.
On concerns that the Fed was gonna stop the party.
Do you think that that's that's what -- should be focusing their attention and the fact that that we've got 85 billion dollars a month being spent by -- by the.
Our reserve -- Right I think the Fed is gonna have to start to taper that off because the economy is doing -- pretty well and and the fact is.
That that markets are probably the key factor driving the economy right now that we're getting a strong surge in wealth -- like activity.
That the housing market that was just mentioned as is part of it as is the equity market and we're seeing things like cars.
Getting back to where they were almost a decade ago in terms of normal also so it's actually kind of good news and on the economy side that we're going back to the old marble.
The new normal might be behind us.
And then that kind of a state than having government gridlock might not be the worst thing and other things we'd like to fix like the corporate and corporate tax but sure if we don't fix those things that seems like the wealth effect is overpowering the negative -- -- that we've seen elsewhere.
Absolutely you know what -- another story that's been crossing Zulu watching as the dollar the dollar is -- a ten month high right now.
Now it -- and -- -- figure out but now the US is the best of the rest today.
On and it's been for some time China is showing some -- -- some signs of weakness Europe.
No growth and still a debt crisis and and countries to be dealt with.
We are truly the safe -- so the bomb performance the stock market reform is the strength -- the dollar there is a lot of money flowing into into our country.
And I guess we've talked a lot about great rotations and whether that is is is playing out or not the fact is significant in coming from it now flows coming into both equity and bond funds.
-- despite these high level so I think there's more room to go.
All right well dumb and certainly it was -- -- some good news on the market they like says that dobbs 61 this is a great day for the markets and a Kevin has its good to see you of the few economists that likes to smile like that and your first like it's always -- to see you thanks.
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