16 Nov 2007 Rough Patch Ahead

Since Greenspan made his comment in February of this year that theUScould be in recession by the end of this year investors and economists have largely taken the rosier view; that is until the last few of weeks. Oil flirting with $100, the dollar in freefall, anemic retail sales, housing in the depths, and a sub-prime mess, the extent of which is still unknown, have seemingly aligned forces against this economy. The majority view remains on the favorable side, but comments from the minority have grown louder and bolder.