The core is up 0.3 percent over the last year, and so there really is no inflation, ... In the first year of recoveries, consumer price inflation tends to fall as it did in the past 40 years. We believe inflation should not be an issue for the foreseeable future.
We believe earnings momentum should turn strongly positive by the second quarter, but earnings gains in 2002 are unlikely to come close to reversing the collapse in 2001.