Despite Fed, Silicon Valley Bullish on Economy

Many tech workers not seeing US slump

By Nick McMaster, Newser Staff

Posted Feb 27, 2008 5:31 PM CST

(Newser) – Ben Bernanke’s report to Congress on monetary policy offered a grim outlook on the economy, but ABC News sees some signs that good news may be around the corner: workers in Silicon Valley, a national economic bellwether, feel good about their prospects. Rising exports, the recently-passed stimulus package and the future rate cuts Bernanke will probably make at the Fed’s March 18 meeting are additional reasons for optimism.

"The robust global economy is a factor helping the U.S. and it may even keep the U.S. out of recession," says Deutsch Bank’s chief economist. And while there's certainly no lack of gloomy financial indicators, positive vibes still emanate from places like Northern California. "A person like me, if I quit my job today, I could be at a whole other place tomorrow and it wouldn't be that difficult," says one high-tech worker based there.

A Navy P-3 plane is on display in front of a hanger at Moffett Field in Mountain View, Calif., Thursday, Sept. 13, 2007. The economic downturn has not significantly damaged the welfare of the tech sector.... (Associated Press)

Federal Reserve Chairman Ben Bernanke testifies on Capitol Hill in Washington, Wednesday, Feb. 27, 2008, before the House Financial Services Committee hearing on the latest measures to heal the U.S. economy.... (Associated Press)

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Despite Fed, Silicon Valley Bullish on Economy

Many tech workers not seeing US slump

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Fed Weighs Emergency Rate Cut

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Experts expect a last cut to 2% before the central bank stops and waits

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OTHER STORIES ON OUR RADAR

Ben Bernanke • Silicon Valley • Federal Reserve • subprime mortgages • recession • housing crisis • interest rate cut

MOST POPULAR STORIES

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Bernanke Sees Q4 Slowdown

Fed chief sees economy as 'resilient' but growth slow through this quarter

Fed Cuts Rate to 0%-0.25%

Target is record low as Reserve battles recession

Fed Weighs Emergency Rate Cut

As economy deteriorates, inflation becomes less of a concern

Fed Ponders Pause in Rate Cuts—After 1 More

Experts expect a last cut to 2% before the central bank stops and waits

Bernanke: Adjustment Is Mostly Over

But admits economy could contract, possibility of recession

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