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21 May 2014
US growth outlook stays upbeat – TDS
FXStreet (Guatemala) - Strategists at TD Securities explained that the Fed minutes should not reflect any measurable anxiety that this recovery is being derailed.
Key Quotes:
“GDP growth in Q2 is likely to reach 4.0%, claims have hit a new low for the cycle, the NFIB small business confidence measure a new high, capital expenditure intentions are moving higher, and for all the ills of the job market the 4 month moving average is back toward 200K”.
“Moreover, core inflation metrics are finally tilting higher. The housing data is one source of concern, but few expect this sector to collapse even if we are likely to see the hand-off from investors to first time buyers remain clumsy”.
“The jury is still out on whether the Fed and others (including ourselves) are correct that the elements of a stronger sustainable recovery take shape. What is more certain, however, is that the recent slide to lower yields is not compelling evidence that it won’t”.
Key Quotes:
“GDP growth in Q2 is likely to reach 4.0%, claims have hit a new low for the cycle, the NFIB small business confidence measure a new high, capital expenditure intentions are moving higher, and for all the ills of the job market the 4 month moving average is back toward 200K”.
“Moreover, core inflation metrics are finally tilting higher. The housing data is one source of concern, but few expect this sector to collapse even if we are likely to see the hand-off from investors to first time buyers remain clumsy”.
“The jury is still out on whether the Fed and others (including ourselves) are correct that the elements of a stronger sustainable recovery take shape. What is more certain, however, is that the recent slide to lower yields is not compelling evidence that it won’t”.