NEW YORK, NY — (Marketwire) — 08/20/12 — Chief Economist, , sees U.S. economic growth picking up through the remainder of the year. “With housing perking up and auto sales remaining robust, we think third quarter GDP can come in around 3.5% with the fourth quarter even higher,” says Norman.
In addition, Norman sites stronger job growth and gains in personal income. Moreover, the negative effects of Europe are abating, and we now see some evidence of improving economic activity in the Eurozone. Regarding the “fiscal cliff,” Norman sees that as political brinkmanship, but does not think the U.S. is going to fall off the edge. “Even the most diehard fiscal conservatives understand the negative impact to the economy if we go over the fiscal cliff,” said Norman. “So I don-t expect it to happen.”
Norman believes that Congress and the president will reach some agreement to avoid plunging over the edge, but added that even if we do go over, the subtraction from GDP won-t be enough to push the economy into negative territory. Markets have probably already discounted much of the impact of the fiscal cliff, he says.
As for interest rates, Norman thinks we probably hit a cyclical low in bond yields earlier this month. “I see bond yields moving a bit higher as growth forecasts are revised up,” he stated. “But the Fed is still likely to remain on hold as long as the unemployment rate stays above 8-percent.” Norman does caution that geopolitical factors remain a potential threat to the global economy. “Mostly we-re talking about a possible military strike on Iran by Israel or the U.S. That would cause oil prices to spike and it could send us back into recession.”
For timely insights, news, and commentary on economics and financial markets, visit the or join the John Thomas Financial community on and .
John Thomas Financial, a member of FINRA and SIPC, is an independent broker-dealer and investment banking firm headquartered in New York City-s Wall Street district. Emphasizing a client-centric approach to managing all aspects of its business, John Thomas Financial and its affiliates offer a full complement of retail brokerage, , and corporate advisory services tailored to the unique needs of its clients. The firm publishes the , a unique daily indicator that looks at government spending and its impact on the financial markets, as well as The John Thomas Financial , a research report analyzing consumer sentiment, market outlook, credit cycles and dozens of other market influences. For more information on the firm, please visit: .
IMPORTANT DISCLOSURES
THE INFORMATION PROVIDED IN THIS PUBLICATION IS FOR INFORMATIONAL PURPOSES ONLY. INVESTORS SHOULD CONSIDER THIS REPORT AS ONLY A SINGLE FACTOR IN MAKING THEIR INVESTMENT DECISION. THIS INFORMATIONAL REPORT IS NOT AN OFFER TO SELL OR A SOLICITATION TO BUY ANY SECURITY. THIS REPORT HAS BEEN PREPARED AS A MATTER OF GENERAL INFORMATION. IT IS NOT INTENDED TO BE A COMPLETE DESCRIPTION OF ANY COMPANY, AND IS NOT AN OFFER TO BUY OR SELL ANY SECURITY. ALL FACTS AND STATISTICS ARE FROM SOURCES BELIEVED TO BE RELIABLE, BUT ARE NOT GUARANTEED AS TO ACCURACY. BEFORE ACTING ON THE MATERIALS HEREIN YOU SHOULD CONSIDER WHETHER IT IS SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES AND, IF NECESSARY SEEK PROFESSIONAL ADVICE. INVESTMENTS INVOLVE RISK AND AN INVESTOR MAY INCUR LOSSES. PAST PERFORMANCE IS NO GUARANTEE OF FUTURE PRFORMANCE. TRADING AND INVESTMENT DECISIONS ARE THE SOLE RESPONSIBILITY OF THE READER.
Contact:
ESVEE GROUP, LLC
159 20TH ST. SUITE 3B
BROOKLYN, NY 11232
646.820.5777
ESVEEGROUP.COM