A 'V' shapped recovery?

Discussion in 'Wall St. News' started by stock_trad3r, Jan 13, 2009.

  1. Since October 10th I've posted frequently about the strong possibility of a 'v' shaped economic & stock market recovery.

    Now some experts agreeing:


    The most important part of the article:

    The crisis in financial and credit markets sparked by the Lehman Brothers bankruptcy in September caused businesses to slam the brakes on production much harder than justified by reduced demand alone, according to Joseph Carson, chief economist at AllianceBernstein.

    "We were producing 2 million tons of steel a week prior to Lehman. Now we're producing 880,000 a week," Carson said. "The economy has slowed, but it has not fallen by half in the last three months. This kind of significant inventory liquidation is exactly why recoveries take place."