Stocks were lifted by positive GDP growth numbers today, as investors chose to buy into the market after the announcement and ahead of the Fed’s rate decision. However, like many indicators, GDP is a lagging metric of past performance. While the news is still good, many are still scratching their heads and wondering if this is simply wishful thinking for the economy. With the recent rise in oil prices, the tightening of credit markets, and the housing “flu”, we could be in for some stormy weather going into 2008. Tissue anyone?
