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24 Dec 2014
US to see another spray of positive data in 2015 - ING
FXStreet (Barcelona) - The ING Team notes that US may witness higher growth of around 3% in 2015, with the labour report anticipated to show yet another month of job creation, and consumer spending expected to see a boost due to lower gasoline prices.
Key Quotes
“One of the key developed market economic stories of 2014 has been the growing divergence between Japan, the Eurozone and the US. The Eurozone and Japan have seen disappointing growth figures with central banks intensifying their stimulus efforts, whereas the US economy is gaining real momentum with the Federal Reserve heading in the direction of policy tightening.”
“2015 is likely to see higher interest rates in the US and growth around 3%, but unfortunately for the other two it is likely to be more of the same with expanding central bank balance sheets, mediocre growth and currencies coming under continued pressure.”
“The data for the first week of 2015 is likely to reinforce this message with the US labour report set to show yet another month of healthy job creation and falling unemployment. We also suspect that wage growth will pick up marginally.”
“With gasoline prices hitting new lows households will increasingly find that they have more money in their pockets, which should be supportive of consumer confidence and spending.”
“We will also get the ISM manufacturing index, which should point to ongoing strength in the corporate sector while the trade balance should narrow further thanks to lower energy costs.”
Key Quotes
“One of the key developed market economic stories of 2014 has been the growing divergence between Japan, the Eurozone and the US. The Eurozone and Japan have seen disappointing growth figures with central banks intensifying their stimulus efforts, whereas the US economy is gaining real momentum with the Federal Reserve heading in the direction of policy tightening.”
“2015 is likely to see higher interest rates in the US and growth around 3%, but unfortunately for the other two it is likely to be more of the same with expanding central bank balance sheets, mediocre growth and currencies coming under continued pressure.”
“The data for the first week of 2015 is likely to reinforce this message with the US labour report set to show yet another month of healthy job creation and falling unemployment. We also suspect that wage growth will pick up marginally.”
“With gasoline prices hitting new lows households will increasingly find that they have more money in their pockets, which should be supportive of consumer confidence and spending.”
“We will also get the ISM manufacturing index, which should point to ongoing strength in the corporate sector while the trade balance should narrow further thanks to lower energy costs.”