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The Bottom Line

By Anne D. Picker, International Economist, Econoday     Monday, January 21, 2002

Market players will be closely eyeing comments from European Central Bank President Wim Duisenberg and Federal Reserve Bank Chairman Alan Greenspan for clues on monetary policy and economic direction. Duisenberg testifies on Wednesday, January 23 before the Economic and Monetary Affairs Committee of the EU Parliament. Unless he changes his tone, he is likely to say that monetary policy remains 'consistent' with price stability and that he expects EMU growth to pick up in 2002. U.S. players will hone in on Greenspan's every word when he testifies about the economy before the Senate Budget Committee in Washington on Thursday, January 24. Greenspan will likely continue to emphasize that U.S. economic data is becoming mixed, pointing to a decline in the weakening trend.

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