It’s all in the numbers. The global economy is going down and as per our trend forecast, interest rates in the U.S. and EU will also be going down. Indeed, yesterday, Fed Head Jerome Powell said the Fed would lower interest rates even if inflation did not hit the made-up 2 percent target rate that the former Fed Head Ben Bernanke invented in 2012.
Each week in The Trends Journal we report on businesses going out of business. And we had forecast that by the numbers, a bad situation would become much worse. Confirming
The biggest U.S. banks are reporting their second-quarter earnings and investors and analysts are watching to see how the megabanks have weathered high interest rates and the continuing slide in the value of commercial real estate loans.
Megamergers are back in vogue, climbing by 22 percent and booking $1.5 trillion in new deals in this year’s first six months, the London Stock Exchange Group reported, as the number of takeovers in the U.S. surged.
For the third consecutive month, U.S. factory activity contracted as manufacturers’ cost of materials fell their most in more than a year.
Home sales and capital goods orders both declined in May due to lingering inflation and high interest rates, Bloomberg reported. Capital goods shipments dropped by 0.5 percent, the sharpest dip in three months.
Consumer spending makes up almost 70 percent of the American GDP. With their COVID-era savings spent, can American households continue to support the U.S. economy?
U.S. inflation’s pace was unchanged in May at an annual rate of 2.6 percent, the Commerce Department reported. Service prices rose 0.2 percent but were offset by a 0.4-percent decrease in goods prices, the largest since last November.
A few stock market strategists continue to warn that stocks are overpriced as the economy slows and the frenzy over artificial intelligence has left markets vulnerable to a sudden plunge.
“Economic Cracks Are Getting Exposed in the 2024 Market Bounty,” was a headline story in Bloomberg last Friday.