U.S. Outlook: Trouble abroad
On its own, the U.S. economy appears to be on a solid path for growth. But global outlook data suggests there are a few problem spots to watch.
- The interconnectedness of global markets means that deflation abroad could migrate to our shores.
- Eurozone growth has been sputtering and unbalanced.
- China’s economy has weakened again despite government stimulus attempts.
- Economic surprise indexes for the Eurozone, Japan, and Emerging Markets are slipping, indicating weaker than expected economic performance.
- Fed could hold off on rate hikes to protect against trouble abroad.