This Week's State Of The Economy-What Is Ahead?

By: Taro Chellaram /Wells Fargo Economics & Financial Report/Aug 03, 2019

This Week's State Of The Economy-What Is Ahead?

How will Fed rates-cut and Trump 10% tariff on $300 Billion Chinese Goods countered by Chinese currency devaluation against Dollar, affect inflation and economic slowdown in US economy? Read the comprehensive reports from Wells Fargo Securities Economics Group. 

The Fed cut rates this week for the first time since December 2008, lowering the fed funds rate 25 bps to 2.25% in a move widely  telegraphed by Fed officials and wholly anticipated by financial  markets. Attention was more focused on the Fed's next move, and whether or not 25 bps would be sufficient to sustain the  expansion. Markets took the move as a mildly hawkish cut, with  the yield curve flattening and equities falling in response. Chair Powell gave investors a lot to digest in his post-meeting press  conference, particularly with his mixed messaging on whether or  not this cut was the start of an easing cycle. Powell termed it a mid-cycle adjustment but also indicated the Fed was not  necessarily done. We still expect the factors that necessitated this cut will compel the Fed to cut once more this year. Powell cited the downside risks from weak global growth and trade policy  uncertainty and sub-target inflation as reasons to insure against  an early end to the expansion.




This Week's State Of The Economy - What Is Ahead? - 31 March 2023

This week brought glimpses of market stabilization after weeks of turmoil. Although consumers seem unfazed by the uproar, tighter credit conditions coming down the pipeline will likely weigh on growth.

This Week's State Of The Economy - What Is Ahead? - 10 March 2023

Financial markets were looking for validation that January\'s unexpected strength was not a fluke and that the downward slide in economic momentum experienced late last year had stabilized.

This Week's State Of The Economy - What Is Ahead? - 04 March 2022

February\'s employment data showed the economy had strong momentum, but that seems pretty dated now with Russia\'s invasion of Ukraine and the Fed\'s shift to a more hawkish tone on monetary policy.

This Week's State Of The Economy - What Is Ahead? - 27 January 2023

Real GDP expanded at a 2.9% annualized pace in Q4. While beating expectations, the underlying details were not as encouraging. Moreover, the weakening monthly indicator performances to end the year suggest the decelerating trend will continue in Q1.

This Week's State Of The Economy - What Is Ahead? - 04 November 2022

Employers continued to add jobs at a steady clip in October, demonstrating the labor market remains tight and the FOMC will continue to tighten policy.

2021 Annual Economic Outlook

The longest U.S. economic expansion since the end of the Second World War came to an abrupt end earlier this year as the COVID pandemic essentially shut down the economy.

This Week's State Of The Economy - What Is Ahead? - 10 April 2020

The Federal Reserve greatly expanded the collateral that it is willing to buy, further easing pressures in financial markets.

This Week's State Of The Economy - What Is Ahead? - 03 May 2024

The Federal Reserve can afford patience thanks to a resilient labor market. During April, total nonfarm payrolls rose by 175,000 net jobs, continuing a string of solid monthly payroll additions.

This Week's State Of The Economy - What Is Ahead? - 27 August 2021

In other economic news, output continues to ramp up across the U.S., even as the resurgence in COVID cases is leading to some pullback in consumer engagement.

This Week's State Of The Economy - What Is Ahead? - 01 April 2022

The key factor that will drive interest rates is the Fed’s belated effort to rein-in inflation.


Instagram

@ tcgcrealestate

Subscribe Now! IT's Free

Stay up to date with all news coming straight in your mailbox.

Copyright © 2024 TC Global Commercial. All rights reserved.