U.S. economic weather report and forecast, based on last week's statistics:
The economy remains overheated in many sectors but is becoming perceptibly cooler. Industrial production fell by a fraction of a point in August, the first drop in a year. Retail sales continue sluggish. Storms prevail in the housing market. Private housing starts declined for the seventh straight month, and the scarcity and high cost of mortgage money assure that rough weather will persist. Interest rates on U.S. Treasury notes reached 8%, the highest in 110 years.
Inflation hangs on. Ford raised the list prices of its 1970 cars by 3.6%,...