The Sequester Is No Biggie (For Banks)

by evanmcmurry

This may explain why the sequester—which is affecting everything from children’s health programs to furloughed workers—hasn’t created the panic that previous Congress-generated fiscal catastrophes have:

Goldman Sachs chief economist Jan Hatzius told CNBC that he expects job growth to slow down over the rest of 2013 due to the sequester cuts, but says that the budget cutting “hasn’t really shown up to a significant degree.”

[snip] “The main story this year, Hatzius said, is that the private sector is much healthier than the lackluster headline numbers, including gross domestic product and unemployment, would indicate.”

If Goldman Sachs and the Banks (worst Fleetwood Mac cover band ever) were feeling the sequester, the issue would have already been taken care of.

Advertisements