|09:05||Williams (FOMC voter)||On the economic and policy outlook|
|09:15||Industrial production||Mild increase, helped by strong auto production|
|10:00||U. Michigan cons. sent., early||Moderate decline expected this month|
|11:00||Harker (FOMC non-voter)||On prosperity|
Industrial production seems likely to post a moderate uptick in December, led by a large gain in the manufacturing sector. We revised our forecast for the preliminary reading of the University of Michigan consumer sentiment index down this week in response to the peripheral data. Our forecast of 96 would be the lowest in a year, but still fairly healthy by historical standards.
The discussion of the Fed’s policy implementation options in the December FOMC minutes was more wide-ranging than we anticipated. However, the timetable for reaching concrete decisions about the Fed’s long-run operating procedures remains unclear.