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A Few Common Sense Observations On The U.S. Economic Outlook What Do The Resurgent Stock Market, Greenspan’s Conundrum, Froth In The Housing Market & Hurricane Katrina Mean For The U.S. Economy? Atlanta Appraisal Institute Atlanta, Georgia. Mark Vitner Director and Senior Economist
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A Few Common Sense Observations On The U.S. Economic Outlook What Do The Resurgent Stock Market, Greenspan’s Conundrum, Froth In The Housing Market & Hurricane Katrina Mean For The U.S. Economy? Atlanta Appraisal Institute Atlanta, Georgia Mark Vitner Director and Senior Economist Wachovia Corporation September 15, 2005
Hurricane Katrina Will Lead To Slower Growth During The Second Half Of 2005 & Slightly Higher Inflation The Flattening Of The Yield Curve Reflects Growing Perceptions That Economic Growth Is Slowing Slower Economic Growth Will Curb Inflation & Eventually Cause The Fed To Pause We See Little Likelihood Of A Recession In The Next Few Years The Rhetoric On The Housing Bubble May Be A Bit Fevered Home Prices Are Rising Because Demand Exceeds Supply More Than To Rampant Speculation Demographics Should Remain Positive Through The End Of The Decade There Is Very Little Speculative Inventory In The Single-Family Market Prices Will Fall In Some Regions When Demand Finally Cools Off Summary & Conclusions