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Posted on 08.16.2013

Survey from The Fed Underscores the Economy is Improving

I enjoy being a part of the Federal Reserve Bank of Atlanta panel of business people who respond to questions about what they think is going to happen with inflation in the Sixth District over the next 12 months. In mid-August, the Fed reported the results from more than 200 business firms, and I'm in line with the majority who report that their sales are up "above normal" slightly, but so are their unit costs.  We expect labor costs to increase and the rate of inflation to be at 1.7 - 2.00 over the next 12 months.  

Fifty percent expect the fed funds rate to rise to between .05 and 1.00 percent (I'm in that 50%), and 40% expect the fed funds rate to increase to 1.00 - 1.5 percent.

 

Paula Lovell is CEO and founder of Lovell Communications.  You can view more of her blog posts here. Connect with her at lovell@lovell.com or @PaulaLovell  

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