FXStreet reports that economists at Natixis said that US growth has already slowed down in 2021, but there is reason to fear a sharp slowdown in the US economy in 2022.
“The stimulus package only covers 2021, and we see that the investment plan (initially $2,300 billion) will ultimately have to be much smaller to be accepted. The fiscal deficit is therefore likely to be significantly smaller in 2022 than in 2021, which of course would slow down growth. The Fed will probably reduce its debt purchases in 2022 and stabilise the size of its balance sheet. This is unlikely to have much effect on the US long-term interest rate, but could push down asset prices, generating a negative wealth effect. If it is confirmed that a significant number of Americans will not return to the labour market, the participation rate will fall, as after the subprime crisis, which will obviously slow down growth.”
Risk Warning: Trading Forex and CFDs on margin carries a high level of risk and may not be suitable for all investors. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.72% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Prior to trading, you should take into consideration your level of experience and financial situation. TeleTrade strives to provide you with all the necessary information and protective measures, but, if the risks seem still unclear to you, please seek independent advice.
© 2011-2022 Teletrade-DJ International Consulting Ltd
Teletrade-DJ International Consulting Ltd is registered as a Cyprus Investment Firm (CIF) under registration number HE272810 and is licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 158/11.
The company operates in accordance with the Markets in Financial Instruments Directive (MiFID).
The content on this website is for information purposes only. All the services and information provided have been obtained from sources deemed to be reliable. Teletrade-DJ International Consulting Ltd ("TeleTrade") and/or any third-party information providers provide the services and information without warranty of any kind. By using this information and services you agree that under no circumstances shall TeleTrade have any liability to any person or entity for any loss or damage in whole or part caused by reliance on such information and services.
TeleTrade cooperates exclusively with regulated financial institutions for the safekeeping of clients' funds. Please see the entire list of banks and payment service providers entrusted with the handling of clients' funds.
Teletrade-DJ International Consulting Ltd currently provides its services on a cross-border basis, within EEA states (except Belgium) under the MiFID passporting regime, and in selected 3rd countries. TeleTrade does not provide its services to residents or nationals of the USA.