U.S. Outlook: Shifting prices create new winners

Scott Anderson
Posted by Scott Anderson
Chief Economist

This week we’ve seen a dramatic illustration of the cross currents impacting the U.S. economy, and a good indicator of how the year is likely to shape up.

Graph showing the rise in consumer confidence.Right now the winners include the U.S. consumer and housing market.

For a detailed look at this and other developments, see my full weekly analysis. Highlights are outlined below, followed by a link to the full U.S. Outlook report, delivered on Jan. 30.

Key observations:
  • Recent readings of consumer confidence suggest the consumer will have more staying power this year.
  • The oil price shock is a net positive for the U.S. consumer and in turn a net positive for the U.S. economy.
  • Unexpectedly low mortgage rates early this year are bolstering mortgage applications.
  • A downside: Exporting manufacturers now need to deal with sluggish global growth and a far stronger U.S. dollar

Click here to read my full report.

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