U.S. Outlook: Veering away from the brink

Posted By Scott Anderson In Economic Outlook | No Comments

The impact of the government shutdown dominates this week’s U.S. Outlook Report. What could it mean for the markets and your finances?

Below is a brief summary followed by a link to the full report, delivered on Oct. 18, 2013.

Key observations:
  • We estimate that the government shutdown has cut a little over 0.2 percentage points off GDP growth in the fourth quarter.
  • Preliminary economic indications suggest a negative economic impact on consumer, business, and government spending.
  • The temporary nature of the spending and debt-ceiling solution will only extend the period of fiscal uncertainty clouding the economic recovery.
  • The silver-lining: Creation of a bicameral budget conference committee to work on a longer-term budget solution by Dec. 13.
  • Fed tapering appears unlikely in near term. This means somewhat lower rates next year for mortgages and consumer loans.

For my complete analysis, check out this week’s US Outlook Report [1].

Article printed from Bank of the West: https://changematters.bankofthewest.com

URL to article: https://changematters.bankofthewest.com/2013/10/25/veering-away-from-brink/

URLs in this post:

[1] this week’s US Outlook Report: https://cdn.shoutlet.com/file/10476/939049.pdf

Submit an Idea

[contact-form-7 id="32" title="Share An Idea"]

You are leaving the Bank of the West Change Matters site. Please be aware: The website you are about to enter is not operated by Bank of the West. Bank of the West does not endorse the content of this website and makes no warranty as to the accuracy of content or functionality of this website. The privacy and security policies of the site may differ from those practiced by Bank of the West. To proceed to this website, click OK, or hit Cancel to remain on the Bank of the West Change Matters site.