JP Morgan on the 'stealth stimulus' supporting the US economy even after rapid rate hikes
JP Morgan on the US deficit and how its supporting the economy. Main points from their note:
- The FY23 deficit is tracking about US$1.5 trillion, but only thanks to the odd accounting of student debt forgiveness
- Excluding student debt, the deficit would be closer to $1.8tn, and almost $1tn larger than in FY22
- This widening should partly reverse as we move into FY24, when we project a deficit around $1.6tn
- This year's "stealth stimulus" may help explain the economy's resilience to rapid interest rate hikes
Has the Federal Open Market Committee (FOMC) done enough now?
This article was written by Eamonn Sheridan at www.forexlive.com.from Forexlive RSS Breaking News Feed https://ift.tt/kt9SRLm
Analytic Dave
AnalyticalDave is a personal financial analysis portfolio that captures my Derivatives trading, stock, and investing journey. My portfolio does NOT act as a financial advisor to any community. It is only purposed for journaling my story as a self-taught trader and investor.
