INDICATORS OF PRODUCTION & SALES This section depicts GDP and its key components, detailing growth in the U.S. economy. Economic growth directly impacts corporate profits and therefore stock prices. INDICATORS OF INFLATION Several indicators reveal inflation in goods, services, and wages. These various measures are compared here. Inflation erodes the purchasing power of current and future investments. Low and stable inflation rates benefit consumers and investors. FEDERAL RESERVE POLICY The Fed is mainly concerned with inflation and factors that portend inflationary pressures. The Fed determines whether to ease or tighten credit conditions based on economic and inflationary conditions. INTEREST RATES This section shows a comparison of key interest rates. The difference between long and short term rates tells us about the economy. Also, it allows us to make more informed investment decisions if we are interested in the fixed income market. Legal Notices | © 1998-2005 Econoday, Inc. All Rights Reserved.