Kurt Karl Quotations

It's a solid, strong report. But we have to remember we are coming from a very weak fourth quarter, so this is mainly a rebound from those weak levels. Consumption and investment remain strong and inflation keeps ticking up, but most of it is still related to oil prices. This could bode well for markets this Friday.

Consumers are facing high oil prices, but they are still displaying a remarkable amount of resilience.

We don't know the exact cause or reason, but it's certainly clear when you look at the worst-ever catastrophic event, which it looks like Katrina will be, we're in a different world, and it's a much more risky world for catastrophic events.

Oil prices are higher and there's a constraint on the consumer because of that. You've also got rising interest rates and a slowing housing market.

The death of the housing market is greatly exaggerated. Home sales will come off but just a bit.

The key number for the Fed was actually the unemployment rate and it went down and has been declining steadily. Wages continue to rise and the Fed has to continue to raise interest rates. This isn't weak enough to stop them.

This is O.K. news on inflation. There is no major worry here. No components are rising rapidly.

This is O.K. news on inflation, ... There is no major worry here. No components are rising rapidly.

We have a housing valuation issue. The time is now for raising interest rates and defusing these problems potentially by slowing down the economy a bit and avoiding a big necessary increase later and a consequential recession.

It doesn't look like a very bad report to me.