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HATZIUS: THE RISKS ARE STILL TO THE DOWNSIDE

13 September 2010 by Cullen Roche 2 Comments

Good commentary here from Jan Hatzius, the Chief US economist at Goldman Sachs.  Unlike most analysts, Hatzius has been a bit more cautious on the US economy (and he has been correct).  In this segment he discusses why the recovery has been so weak and why the risks lie to the downside.  Hatzius says the end of fiscal stimulus will reveal very weak underlying demand:

Source: CNBC

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Comments
  • Nico

    That makes the IMF and GS on the slightly bullish camp vs. Shiller and Roubini on the slightly bearish end.

    09/13/2010 at 4:04 PM
  • svg

    I enjoyed this interview. I appreciate his moderate (non-hysterical/non-extremist) approach. Simple and to the point. I also happen to agree with his main ideas. No double dip, sluggish low growth, with risks to the downside. Makes sense and seems the most likely outcome (which is what scares the contrarian in me! lol). The surprise side is to the upside. Only a very small minority are expecting earnings in late 2010/early 2011 to come in stronger than predicted, and for demand to pickup stronger/faster than the majority anticipate.

    09/13/2010 at 9:58 PM