Ali Firoozi’s Post

The economy is growing despite inflation. Let's delve into the latest GDP trends and consumer spending behaviors. ◾ Despite inflationary pressures, the economy has shown resilience with continued growth, indicative of consumer confidence. ◾ Understanding these economic dynamics can help us make informed decisions and anticipate future market developments. ◾ As we navigate these economic trends, it's crucial to consider their implications for our financial planning and investment strategies. We can both continue to study and learn new economic trends. #EconomicGrowth #Inflation #ConsumerSpending Source: https://lnkd.in/gJ-_B534

The economy is growing despite inflation. Let's delve into the latest GDP trends and consumer spending behaviors. ◾ Despite inflationary pressures, the economy has shown resilience with continued growth, indicative of consumer confidence. ◾ Understanding these economic dynamics can help us make informed decisions and anticipate future market developments. 🔍 ◾ As we navigate these economic trends, it's crucial to consider their implications for our financial planning and investment strategies. We can both continue to study and learn new economic trends. #EconomicGrowth #Inflation #ConsumerSpending Source: https://lnkd.in/gJ-_B534

The economy is projected to grow by 2.1%, exceeding the long-term trend, as per a survey conducted by Wolters Kluwer. This positive forecast is underpinned by robust consumer spending, stable household balance sheets, and rising business investments. Federal Reserve Chair Jerome Powell has shown assurance in sustaining GDP expansion and a thriving labor market, with a focus on curbing inflation to meet the 2% target.

Since the U.S. Federal Reserve began hiking interest rates in March 2022, economic forecasters, Wall Street strategists, and Federal Reserve officials had anticipated the U.S. economy to slow—if not fall into outright recession. Instead, the economy accelerated and outperformed the cognoscenti’s forecasts. For more, please read Goelzer’s Weekly Market Update.

The US economy expanded at a 1.4% annual pace in Q1 2024, its slowest since spring 2022, despite a slight upward revision from earlier estimates. Higher interest rates have tempered consumer spending, reflected in slower growth rates in sectors like goods and services. With expectations of strengthening growth in subsequent quarters, ongoing business investment and employment resilience underscores the economy's ability to navigate challenges posed by inflation and monetary policy adjustments. #Economy #Rate #Interest

January 27th, 2025 - Volume 11 (2025), Missive 19 (Monday) *GDP volatility notably absent *Service sector no longer gets the credit / blame for moderation *The Fed has little recourse but to just run along "Consistently falling behind its potential is no way to grow an economy. However, when little other choice exists in the present, there’s not a whole heck of a lot anyone can do about it. This old quandary is what policymakers at the Federal Reserve will be faced with once again this week as they meet for the first time this new year. Although once championed as a ‘great moderation’ following the rather turbulent economic times of the 1950s, 60s, 70s, and early 80s, the increasing stability of GDP now presents a challenge as volatility in the nation’s output is all but extinct. Like a parade that just keeps marching on, the economic procession is leaving more and more of its audience, as well as its participants, listless and yearning for a more active experience. Unfortunately, the treadmill that is the U.S. economy, continues to hum along, falling further behind an expanding potential as its motors keep churning along...."

🇺🇸 The U.S. economy closed out 2024 with strong consumer spending, helping it outpace other global economies. 💵 With an initial GDP estimate of 2.7% for the fourth quarter, the U.S. is expected to maintain solid growth heading into 2025. Dive into the full economic forecast and what it means for the year ahead ⬇️ https://lnkd.in/ebNBG_Du #EconomicGrowth #GDP

During the first 90 days of 2024, we learned the economy was even stronger than previously thought – with upward revisions of the already strong GDP growth rate from the fourth quarter of 2023. Early estimates show that the U.S. continued to run at an above-average pace throughout the first quarter of 2024. Check out the UMB Blog below to read our full economic update for Q1 2024.