US Influential voices inside and outside the Federal Reserve are challenging the notion that the US economy is heading for a deepening housing-led slowdown, cheering equity investors and sending bears in the bond market into retreat.
The thesis, put forward by Fed vice-chairman Don Kohn last week, and endorsed by Alan Greenspan, the former Fed chairman on Friday, argues that the trough in housing market activity could be near, and that the economy should come through it in reasonable shape.
