November, 25 2015 by lsr team

US growth forecast: a sweet ‘16

LSR Blog - US growth forecast: a sweet ‘16

Last week we published our LSR View explaining why US growth is likely to accelerate into 2016 and that, by inference, recent scares about the potential for a US recession are greatly overplayed.

We think US real GDP growth is set to quicken to 2½ -3% from the 2% average of the past five years. This exceeds most current estimates of US growth potential and fully justifies the Federal Reserve’s expected rate increases. Rapidly growing household spending, on housing as well as consumption, plus an end to five years of fiscal drag will be the main engines of growth.

To find out more about our latest View on the US economy and stock market outlook, click below.