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Newspaper
News
Location
Frederick, Maryland, United States of America
Date
May 02, 1991
Page
9
The government index of leading economic indicators rose 0.5 percent in March signaling a modest gain. Economists remain doubtful on a swift recovery with many predicting the downturn lasting into late 1991 and perhaps longer than the 1981-82 recession.
Chicago Board of Trade quotes show mixed movements across Wheat Corn Soybeans and Oats with May and Jul contracts posting small gains while others slide. Analysts say gains reflect ongoing hopes for a gradual economic rebound despite a 10 month recession.
Major banks lowered the prime rate by a half point to 8.5 percent in a coordinated response after the Fed trimmed two key rates to spur economic recovery. Bush and Boskin praised the action. economists warn cheaper credit alone may not revive the economy as banks join Morgan Guaranty and others in cutting to a three year low.
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