Hugh Johnson Economy Quotations

Yesterday's weak ISM number shows the manufacturing sector is just limping along. Another report this week suggests that Friday's August employment report may not be very good. Worries about the economy resurface and are reflected in stocks,

It confirms that as we started the fourth quarter the economy continues to slow, ... At the same time that the economy is slowing, there is ongoing tightness in the labor markets and ongoing upward pressure on wages.

It injects some uncertainty. The worry is the Chinese economy will slow too much, and that will send markets down worldwide.

On the surface level it's a real simple story. Interest rates are rising and the outlook for the economy and earnings is darkening every step of the way.

When you see buying in that (technology) sector in a bear market, it implies that there are investors out there who see improvement around the corner, and it's usually technology and cyclical stocks that lead the market out of a downtrend. The bias towards Friday's data may be that the data will be consistent with the view that the economy is showing some expansion.

The price is down some, but it's clear that oil is at a level that raises serious questions about the U.S. economy and earnings going forward.

The reason the (stock) market is struggling is that concerns about the economy and earnings are deepening, ... We don't see anything that says the current profit recession is going to end.

Every time (crude prices) move toward $50, it raises serious questions about the economy and earnings in 2005.

Is the possibility of a tax cut and a rate cut enough to eliminate or neutralized the concerns about the economy and earnings, letting the January effect play out, ... Watch the overall market and if the shift from defensive stocks to economically-sensitive stocks continues, it may be enough to turn the tide.

The stock market rally today is because we drove the market down to levels that were on the cheap side and when you get news like the leading indicators saying things are going to be good for the economy and profits, that attracts buyers.

The simple truth is the economy rebounded from the fourth quarter and was very strong in the first quarter as measured by (gross domestic product). Secondly, based on what we've heard from companies, profit margins should be good.

Technology stocks have been leaders for good reason. The economy is growing 3.5 percent per year, while spending on information-processing equipment is growing 19.1 percent a year, after inflation. And spending on computers and peripherals is growing at a 41.1-percent rate. Technology is reflecting what lies ahead for the economy.

Technology stocks have been leaders for good reason, ... The economy is growing 3.5 percent per year, while spending on information-processing equipment is growing 19.1 percent a year, after inflation. And spending on computers and peripherals is growing at a 41.1-percent rate. Technology is reflecting what lies ahead for the economy.

Although they were close to expectations and maybe a little bit weaker, the numbers confirm that the economy generally is slowing, ... The report also confirms that the manufacturing sector of the economy is contracting.

It's a trading rally, and not much more than that. If there's anything you can hang your hat on, it's that with every passing day, some investors become convinced that there's not going to be any serious fallout or damage to the economy or earnings due to the hurricanes.

It's very clear that higher energy prices are now being passed along to consumers, and it's not difficult to do that when the economy is as strong as it is. This will put additional pressure on the Federal Reserve to continue to raise short-term interest rates.

The numbers across the board were pretty surprising. I would say that improvements in the leading indicators of the economy, like the employment and manufacturing numbers, is very encouraging and indicate that the economy is expanding and not contracting. It also suggests continued expansion into the first quarter.

Everybody is waiting for the employment report on Friday. The belief is that the economy is rebounding from the sluggish fourth quarter. We will know on Friday.

I'm referred to as a fundamentalist -- a person who cares about company earnings and where the economy is going -- but the truth is I'm a closet technician. I've learned something as we've moved through the bear market: The last people to find out about a problem are research analysts and fundamentally oriented strategists.

If there's no bounce, it's investors saying that the market has not reached a level that accurately reflects what's ahead for the economy and earnings.

The economy and the growth rate of earnings will slow, ... There's a good chance that investors will continue to do what they've always done. They will migrate to the safer segments of the market.

The durable goods numbers are telling us that businesses are spending money, and that the outlook for the economy is solid. And after last week, the earnings numbers are encouraging. So we're seeing a good bump today.

The gains in those sectors is very good news. Investors are buying into riskier areas and it shows they're more optimistic about the economy and earnings.

The gains in those sectors is very good news, ... Investors are buying into riskier areas and it shows they're more optimistic about the economy and earnings.

The market is asking the question, given oil prices, given rates, given China's economy and other things, what does it look like for the economy and corporate profits in the fourth quarter and in 2005? The message we got last week was that it's probably not going to be as great as everybody once expected, but it will still be just fine.