U.S. Slowdown to Be Deeper, Rebound Weaker, Says Poll

[Purveyor]

Source: Bloomberg News

March 11 (Bloomberg) -- The economic slowdown in the U.S. will be deeper and the recovery weaker than previously forecast, according to a Bloomberg News monthly survey.

The world's largest economy will grow at an annual rate of 0.3 percent from January through June, a half point less than projected in February, according to the median estimate of 62 economists polled from March 3 to March 10.

Rising fuel prices, shrinking payrolls and falling home values will weaken consumer spending and blunt the impact of tax rebates that start going out in May. The Federal Reserve, struggling to offset the credit crunch and housing contraction, will cut the benchmark interest rate by another percentage point and keep it at 2 percent through December, the survey predicts.

``We're now more pessimistic about the pace of recovery into 2009,'' said Richard Berner, co-head of global economics at Morgan Stanley in New York. ``We now see the Fed pursuing a slightly more accommodative path for monetary policy than just a week ago.''

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``The debate is shifting from whether it is a downturn to how long and how deep it will be,'' said Kurt Karl, chief U.S. economist at Swiss Re in New York. ``We have a 55 percent probability of recession. Now it looks like it's starting in the current quarter.''



Read more: http://www.bloomberg.com/apps/news?pid=20601082&sid=amrhbcrDotCc&refer=canada

[Warpy]

1. "Starting in the current quarter?"

Who are these fools kidding? It started with a crash in the funny assets marketing of hedge funds in August. For working people, it started when the USSC stopped the vote recount in Florida, installing Stupid as president.

This economy has been propped up on debt about as long as it can be. This is the end game. Either there will have to be a fundamental rules change or we are finished.

[ayeshahaqqiqa]

2. What you said

Couldn't have said it better.

[ooglymoogly]

3. amen nt

[greyghost]

7. Exactly. We're looking at a fucking depression and they're doing...

everything they can to slow down the fall because Chimpy McFlightsuit has a few hundred days left.

I heard that they sent Cheney to the Middle East to negotiate lower oil prices. ROFLMAO! I know, I know, isn't that rich.

Of course he's going to beg the Saudi's to lower prices until after the election.

[ooglymoogly]

4. kr nt

[kickysnana]

5. kick. n.t

[TML]

6. The Sad Part Is That

Somewhere in America, some real estate agent is telling a potential homebuyer that there's never been a better time to buy a home with 0% down.