U.S. Outlook: Dark clouds on the horizon
Dark clouds are gathering once again on the economic and financial horizon. Financial volatility is on the rise and uncertainty is high enough to keep the FOMC in a holding pattern until the storm clouds dissipate.
To help answer that question, see highlights of my report below, followed by a link to the full U.S. Outlook, delivered on June 17.Key observations:
- A loss of U.S. labor market momentum, fear of financial contagion from a U.K. exit from the Eurozone, and a China hard landing are just some of the risks weighing on investors’ minds today.
- The shockingly weak payroll report for May suggested the U.S. economic expansion may be more fragile than expected.
- The uncertainty over whether U.K. voters will support a “Brexit” on June 23 has started to give global markets indigestion.