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On the one hand, you'll likely never find anything so aptly named in finance. It is indeed a beige book. But its real title is the Summary of Commentary on Current Economic Conditions by Federal Reserve District. About two weeks before the Federal Open Market Committee meets to decide on interest rates, Fed governors get a compilation of how individual Federal Reserve banks view their economic health. (Actually, a different Fed bank is responsible each time to put it together, so they pass the workload around like roommates deciding who'll do the dishes.)
Obviously, it's important stuff. Since it's rather timely, many stock traders and economists use it to gauge whether the Fed has the same view of economic conditions as the market seems to.
But it's not scientific -- even the Fed admits that it's "anecdotal." And the Beige Book is the result of dozens of interviews with economists, bank branch managers, market experts and business leaders. As a result, a survey of pessimists in a district can paint a decidedly glass-half-empty picture. What's more, the Beige Book surveys all 12 Fed districts, and economic conditions in Cleveland can be much different than, say, Richmond, Va.
As a result, the Beige Book is rarely a market-mover, unless it contradicts a bunch of other data. So, check out the summary, but you can find better reports to read before nodding off.
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Friday, January 11, 2008
Tackle the Present Before Looking to the Future
Nancy Colasurdo, Life Coach
FOXBusiness
One of the essential components of an effective game plan is an assessment of the present. Sounds a little ho-hum, right?
But
think about how much more impact it has when you see one of those decorating shows and there’s a “before” to compare to the
“after.” The dull den stuck in a time warp becomes a vibrant, retro game room for the family to enjoy. Wow.
Or, to
use a different kind of goal, how satisfying must it be to go from deep debt and eating ramen noodles twice a day to financial
prosperity that allows you to enjoy whatever kind of food you prefer?
See how much more powerful that is than just
walking into a nicely decorated room with no idea what it used to look like or just knowing someone is doing well financially
but having no context around it?
In Game Plan columns so far this year, I’ve given suggestions on how to get started
on setting some goals or making resolutions for 2008. They’ve included looking at your life in categories (i.e., career, creative
pursuits, etc.) and even finding a horoscope you like and using it as a blueprint of sorts.
Click here to read "Horoscope as Blueprint to Venturing Out of the Box"
From there, it’s a good idea to look at your starting
point on those goals. Often when working with clients who are resistant to this exercise, mostly because they’re so anxious
to move forward that they find exploration of the present boring, I consciously insert myself into the process. “Well, as
your coach, it will be much more helpful for me to understand whether we have a basis for this goal or if we’re starting from
scratch,” I’ll say.
That will usually prompt at least a verbal assessment, which is sometimes all that’s needed, or
a more in-depth one. For example, continuing on the room idea, let’s say the stated goal is “To make my den vibrant, welcoming
and functional.” Who wouldn’t want that, right? Well, how close are you to having it?
There are several ways to get
the answer. You could take pictures. You could put together a nice little floor plan. You could make a list of what’s already
great about the room. Is there an inspiration piece or do you need to find one? What are your non-negotiables in the ‘stay’
and ‘go’ categories? You could list what functions the room needs to serve (i.e., storage, meditation, etc.). You could create
a budget for the redesign. The possibilities go on.
The same goes for the money goal mentioned above. Let’s say it’s
specifically, “To feel the liberation of being debt free.” That one is a bit more black and white, as it’s mostly about looking
at numbers. However, the emotional aspect of the goal should be addressed separately. If what you’re trying to attain is a
feeling of liberation, the implication is you’re not feeling that now. So what are you feeling? I would ask my client to work
up something to capture those thoughts – a written page, a list, a collage. It’s important to be able to look back at something
tangible once the goal is achieved.
When each goal has a satisfactory starting point, the next thing we work on is
the all-important vision. But that’s another column for another day. Tune in next week. We’ve only just begun.
Nancy Colasurdo is a practicing life coach and freelance writer. Her Web site is
www.nancola.com. Please direct all questions/comments to FOXGamePlan@gmail.com.
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