Second, they want to know whether this soft patch
indicates the end of the current business cycle - one of the longest on record, incidentally.
It is reflective of the continuation of the soft patch
that the economy has been going through, but looking forward it seems that we're starting to gain a little bit of traction," Russell Price, a senior economist at Ameriprise Financial told (http://www.
I think they'll have to recognize that we're in a soft patch
, but they'll probably say it's not a recession.
Trading at 10 to 11 times forward earnings, European equity have already discounted a form of soft patch
We however believe the soft patch
will prove short-lived.
He said: "This looks increasingly challenging given the headwinds facing the economy and the current soft patch
it is enduring.
After closing at its highest level in nearly three years on April 29, the S&P 500 has tumbled nearly seven per cent on the back of a barrage of soft economic data, sparking the debate over whether the economy is headed for a double-dip, or has merely hit a soft patch
in its recovery.
From a market stand-point three main issues must be addressed: the reason for the soft patch
, its main characteristics and the policy response," Goulletquer added.
The key question going forward is whether this soft patch
is transitory, as the Fed suggests, or is something of even greater concern.
It is likely that this will be a soft patch
in the coming months but overall it will probably be a soft patch
rather than a double-dip recession or something worse," said Sean Incremona an economist at 4CAST in New York.
The economy entered a soft patch
at the back end of 2010, and there have been few signs of a bounce-back.
The two preferred methods are the soft patch
and emergency water-activated repair patch (EWARP).