Friday, January 30, 2009

Good news for the economy!

It only contracted 3.8%! No seriously... people were predicting 5.5%. But...
Although the initial result was better than economists expected, the figure is likely to be revised even lower in the months ahead and some believe the economy is contracting in the current quarter at a pace of around 5 percent. The current January-March period, they said, will probably turn out to be the worse quarter for the recession.

"The downturn is intensifying. The fourth quarter is worse than it looks," said Mark Zandi, chief economist at Moody's
OK, so maybe that isn't very good news.