From an economic perspective, it tells us that we are still having a fairly solid growth in both manufacturing and the overall outlook in the near term.
When you look at the details on the positive revision, it's a fairly robust figure. The consumer is continuing to drive a lot of the growth that we're expecting in the first quarter.
Traders were really preparing for the worst. I think the reading is very much a cause for relief.
This will get people thinking a little bit more about the inflation risks the Fed has been talking about.
Most of the market is looking at Rita.
We feel that such a possibility is still a long way off, but it is a development that bears watching.
The index is noisy on a week-to-week basis, but it is painting a broad picture of a cooling housing market.
There will be some bigger fears about whether the bill for years and years of trade deficits is finally coming due. The outlook is for continued, big current-account deficits.
This doesn't do anything to change the expectation for payrolls tomorrow, even though it is eye-catching that claims fell below 300,000.
It is difficult to argue that there is a bubble on a national level since it more of a coastal story, such as California and Florida. There has also been a reduction in speculative buying.
