Weekly Outlook: How to Play the Big Picture

This week, Consumer Spending and the second quarter's GDP may look encouraging in numbers but mostly thanks to the positive effects from the tax rebates. At this time, it seems that the market's belief is very near to this:

"The U.S. economy will be weaken in the second half of the year when the effect of the stimulus package start to fade and the negative effects from falling home prices, rising unemployment, and elevated prices of food and energy persist and definitely reduce consumer spending and overall economic activity."

(to be completed)