It is logical that the news from the United States should be bad

- "The latest figures published on the US economy (job market situation, consumer confidence, production prospects, housing starts, retail sales, defaults on mortgage loans, decline in credit) show that the United States is not yet out of the woods and that growth there is slowing."
- "This situation was predictable: the adjustment of households' balance sheets is far from over, their solvency is still in a poor state, companies are looking to distort income sharing in their favour, leading to sluggish employment and wage growth, while deindustrialisation continues."
- "Investors will therefore have to be more patient regarding a real recovery in the United States; from the viewpoint of financial markets, because the growth gap between the United States and the euro zone will be smaller than expected and because US monetary policy will remain very expansionary, one can expect a flattening of the dollar yield curve, renewed appreciation of the euro, and a correction of the performance differential between European and US equities."

Natixis Flash Economics 409 20100824

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