Economics Update

Really just a few data points here, with housing starts falling sharply, 22%, in February, and we are seeing uptick on the producer price index.

The former is a mark of sanity, there are still too many homes, new, used, and foreclosures, out there, and if you are building houses without a buyer committed ahead of time, you are nuts in most parts of the country.

As to the PPI, it's all volatility in commodities, so I would not worry right now, which is what the FOMC said yesterday in its statement as well.