Wednesday, February 28, 2007

Economy Grows Slower Than Expected in 4Q

The housing market is getting crushed and fell the most it has in 13 years in January. The economy is not looking any better and the numbers just do not compute with me that showed we actaully had decent growth. The numbers coming out now suggest the economy was as sluggish as I'd imagined and observed.

The new reading on gross domestic product showed the economy grew at a 2.2 percent pace -- a considerably weaker rate than the government first estimated. It initially had reported the expansion in the last three months of 2006 to be at a 3.5 percent pace. The principal reason for the new, significantly lower estimate: Businesses tightened their belts amid fallout from the troubled housing and automative sectors.