Heather Long, Washington Post, Komo discussed on Noon Report with Rick Van Cise
Saint Joe were hit by several feet of storm surge that smashed through windows and brick walls. But just twenty miles away old homes and a very historic part of the city in that area survived largely intact. Facebook says the FBI is investigating a major security breach of its service. But the company says they've been asked not to discuss who may be behind the attack that suggests Facebook may know who is behind it. We are all checking our 4._0._1._K's right now. I'm not looking what happened this week on Wall Street boy, Heather long reports on the economy for the Washington Post and joins us now on the KOMO news line. Okay. Heather it's been a rough week. I'm glad we're nearing the end of this trading week as many investors are what what set this all off. And what has most worried? Yeah. That's a great question. Well, the good news is it's all up today. At least the latest check. I'm looking at it right now with the Dow up about one seventy five is we're heading into the closed. So I mean, there's a couple of things that triggered this. But the most important question is, you know, investors were looking around saying look were things have been very very good. The last few months for American companies were were looking at twenty five percent earnings growth, but just phenomenal number, but they were looking around and saying, wait a minute. What about the future is twenty nineteen really going to be anywhere near that? Good. And so we were just seeing a little bit of a reevaluation of of how strong the economy and how strong. US companies earnings really are going to be in the next couple of months. Heather what's the conventional wisdom right now are people looking at this thing, we're headed for a recession or more of an economic slowdown. There's a difference obviously between the two huge difference. That's a good point. No almost no one sane recession tomorrow or even recession in January or February. So it's not like they're going to be in some deep downturn. Anytime soon what we are for a lot of people are forecasting is a bit of a slow down. So almost tapping the brakes a little bit here. So this year great year phenomenal year probably going to be around three percent growth for the US economy. We haven't had that kind of growth in a long long time over a decade, then next year a lot of people are projecting two point five percent. So again, that's still pretty good. It's better than two percent that we were seeing for much of the end recovery and our President Obama. And but after that it gets a little. Dicey. We'll have the text of the tax cuts the affects of the extra government spending. That's going away at the same time. You've got higher interest rates. You've got higher energy costs. You've got rising wages, you got a stronger dollar. So you just have a number of factors that are going to chip away at that growth. And that's why some people are saying a recession could be on the table for twenty twenty. We're talking to Heather long who writes for the economy for the Washington Post. So we're all watching the impact on our 4._0._1._K's. Rick is I'm not looking at my numbers. I just got older. So it makes you feel like you wanna pull back to go into more, you know, conservative stocks and rain that perform in is that best advisor, or what are what are people saying? It really depends on your age. I was an event this morning with some top Morgan Stanley, folks. And they were saying just what you're saying that they're telling their clients their top investor clients to to be a little bit more conservative as they head into twenty nineteen. You know, that doesn't mean that you pull everything out of the market entirely that might meet a small chain of shifting some money from stocks into bonds as as we move forward from here again. Nobody's sitting here thinking, oh, you know, this is going to be some major crash, but you're sitting here having to ask yourself. What's the catalyst for growth going forward? What's the catalyst for those profits to stay high? And that that's not as obvious right now is it was a couple of months ago when those tax cuts were kicking in everything was firing on all cylinders Heather along with the Washington Post. You can read more online at Washington Post dot com can't help. But think about how long it took to recover after two thousand eight I think that's what's going through. Everybody's mind. Okay. Time. For your propel insurance money update at twelve twenty and has Heather mentioned were in a lot better shape. Today nearing the close of the trading week. We see the NASDAQ up one hundred twenty four points at seventy four fifty three. The Dow is up one hundred fifty three at twenty five thousand two hundred six and some local stocks have been recovering today Amazon's up fifty four points, but a ways to go down to seventeen seventy three this week. Global money story. Business leaders around the world are reassessing their ties with Saudi Arabia stoking pressure on the Gulf kingdom to explain what happened to a dissident writer who disappeared after visiting its consulate and Instanbul British billionaire, Richard Branson today suspending business links with Saudi Arabia money news at twenty and fifty past every hour here on KOMO standby. We have some traffic issues not only leaving the city but getting into it next. Stay.