Does the Conference Board Think the Fed is Faking?
The Conference Board said some things today, among them that the US economy would rebound as early as Q1, 2006 from Katrina's bludgeoning.
But the Board seems to have made a weird assumption:
Unlike many private economists, the Conference Board said its outlook assumes the Federal Reserve Board will not raise the federal funds rate higher than 4.0 percent.
"Should the Fed continue to hike rates and the yield curve invert, the outlook will be significantly worse," [the Conference Board] said.
Huh.