Will 2001 Be Haunted by the Specter of the Four E's?

If you want to know exactly what's been bedeviling the U.S. economy of late and what might rankle it further next year, just think of the letter E.

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Will 2001 Be Haunted by the Specter of the Four E's?

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That's because the so-called "Four E's" -- a group of financial furies made up of energy, the euro, earnings and, of course, the presidential election -- have now been identified as the main spoilers rocking the economic boat in recent months. They have already wrought much mischief, but a few E's might have more wickedness in store for investors in the coming year.

Looking back, these four goblins have been busy brewing up trouble. The apparently never-ending election kept things stormy on Wall Street for weeks, and companies reporting poor third-quarter earnings and issuing fourth-quarter earnings warnings have deflated stock prices and reduced investor optimism. Turmoil in the Middle East and rising oil costs have pushed up the cost of energy for consumers and businesses, and the euro has fallen sharply, making U.S. exports more expensive and contributing to the growing trade deficit. ...