Expert Chaslau Koniukh
  • Companies
  • Global investment
  • Investors
  • Terminology
  • Economy
  • Stock Market
  • World exchanges
  • Tech and Marketing
economic growth rates
Economy

US economic growth rate: forecast for the coming year

11.07.2020
2 min read

What factors affect the US economic growth rate

The effects of global processes on the world market are reflected in the domestic situation of most countries. Experts predict that economic growth rates in the USA will slow down and this trend will be observed over the next 2 years. The main reasons are tariff increases and strained relations with China.
According to the forecast, the average GDP will grow by 2.3% this year. At the same time, the data published in January showed 2.44%. By 2020, the indicator may fall to the level of 2%.
The results of the forecast have caused concern among many experts, and they are skeptical about the Federal Reserve’s rate increase until the end of this year and in the future. The maximum that can be expected is one increase, but maybe even a decrease in the rate.
The biggest threats to the U.S. economy are considered to be the slowdown in growth and the existing trade policy, which limits the country’s capabilities.
Many investors insist that Donald Trump needs to come to an agreement with China and start the process of tariff cuts. Such actions by the government will help increase business confidence and improve the economy. In addition, it will strengthen Trump’s position as president of the United States.
This year has become critical not only for the United States, but also for the world economy as a whole. On average, forecasts for GDP indicators fell by 0.4% compared to last year’s data. Under the influence of tariff increases, the decline will continue to be observed.

economic growth rates

Despite the slowdown in U.S. economic growth, experts are optimistic and waiting for the soonest end of the trade war with China. It is extremely important to come to a single agreement, which to some extent will satisfy the interests of the two countries. However, the parties should make mutual concessions to this end.
However, some market analysts express doubts that the problems with tariffs will end after a truce with China. The question remains about the duties that the U.S. government wants to impose on cars from Europe. If the law is passed, the whole positive effect may go away.
It is expected that the Fed’s balance sheet indicator will fall to $3.5 trillion, now it is $4 trillion. In January, the forecast was $500 billion more.
The state of the shares in the market has improved significantly after the sharp decline at the end of last year. Forecasts for the S&P 500 index became more optimistic. It will increase to 2861 this year, and in 2020 will reach the level of 2925. But the index will not be able to catch up with the maximum values that were observed 10 years ago.
The slowdown of economic growth in the U.S. will also affect the lives of the population. It will be necessary to cut spending and carefully choose the directions for investment.

Tags: Global Economy
0
Previous Post Bill Eckmann: rules of business from a known investor Next Post World financial services and public literacy

You Might Also Like

Chinese authorities
Economy
The Chinese authorities decided to reduce duties for the U.S.
29.10.2020
spike in unemployment in Europe
Economy
European Union expects a spike in unemployment
23.11.2021
PGNiG
Economy
PGNiG intends to reduce its dependence on Russian gas
24.09.2020
China
Economy
China’s GDP growth in 2020 is the lowest in 45 years
24.10.2021
buy gas from the USA
Economy
Why it is unprofitable for Europe to buy gas from the US
01.06.2020
China monetary policy tightening
Economy
What is the reason for monetary policy tightening in China
03.12.2021

Recent Posts

  • 1Laos cryptocurrency exchanges
    Two cryptocurrency exchanges in Laos received approval from the country’s Central Bank
    24.06.2022
  • 2Digital luxury
    Digital luxury: perspectives for luxury goods in virtual space
    23.06.2022
  • 3SWIFT considers interaction with digital currencies
    SWIFT plans to interact with digital currencies
    22.06.2022
  • 4The minimum income in Latvia will change
    The government intends to revise the minimum income in Latvia
    21.06.2022
  • 5Domuschiev brothers
    The Domuschiev brothers: the success story of Bulgaria’s first billionaires
    20.06.2022

Popular Posts

  • Skolkovo analysts: the Russian energy market is suffering losses
  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Analysts: gas prices may be negative in Europe

Social media

Editor's Picks

Chaslau Koniukh
Analytics

American bankers from JPMorgan and Goldman Sachs advise to invest in gold: review by Chaslau Koniukh.

Spokesperson
17.08.2020
Expert Chaslau Koniukh
Analytics

Chaslau Koniukh on the analysts’ opinion on the key stake size change soon

Spokesperson
18.06.2020
expert Chaslau Koniukh
Analytics

Chaslau Koniukh: Internet trade market in Russia may reach 2.78 trillion rubles.

Spokesperson
30.05.2020
Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh
Analytics

Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh

Spokesperson
16.05.2020

Latest Posts

OpenSea NFT platform
OpenSea’s NFT platform hits the $13.3 billion mark
25.06.2022
Laos cryptocurrency exchanges
Two cryptocurrency exchanges in Laos received approval from the country’s Central Bank
24.06.2022
Digital luxury
Digital luxury: perspectives for luxury goods in virtual space
23.06.2022

Chaslau Koniukh

Expert Chaslau Koniukh

Chaslau Koniukh – an expert in marketing and project management, IT consulting, international investments, investor, financial analyst. A commodity trader, private consultant, entrepreneur, lecturer, author of several articles on the stock market.

Popular Posts

  • Skolkovo analysts: the Russian energy market is suffering losses
  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Analysts: gas prices may be negative in Europe
  • Xiaomi Corporation invested $400 million in Xpeng Motors
Expert Chaslau Koniukh
  • Facebook
  • Twitter
  • Instagram
  • Biography

Chaslau Koniukh – an expert in marketing and project management, international investments, financial analyst.

Social media

Menu

  • Biography
  • Companies and corporations
  • Global investment
  • Investors and Entrepreneurs
  • Economy
  • Market terminology
  • Stock Market
  • World exchanges
  • Tech and Marketing
  • Analytics