An economic forecast is a prediction of what future periods of economic activity will be in various categories. This could be a prediction of the overall economy through the gross domestic product (GDP), employment levels, inflation, interest rates, and numerous other subcategories. Economic forecasts are designed to help companies and investors allocate capital.
Recent economic data signals a modest improvement of economic activity and current economic forecasts going into 2015 have been increased. As is the case, however, when dealing with future events, unforeseen shocks can turn an economic forecast upside down very quickly.
The U.S. Federal Reserve has clearly indicated that it intends to increase short-term interest rates as soon as U.S. economic activity improves from its current level. The central bank’s economic forecast for economic activity and employment has improved for 2015, but it’s still unclear as to when the central bank will effect its first change in interest rates in a number of years.
The last thing Wall Street is thinking about is an economic collapse in 2015. After all, the stock markets are at record highs, unemployment is down, and inflation is in check. But the fact of the matter is that these same indicators were also in check before the markets crashed in 1987, 2000, and 2008/09.Back in 2008/09, everyone on Wall. Read More
The stock market may be trading at record-highs, but many investors believe equities are overvalued, making it difficult to find companies with great upside potential. If actions speak louder than words, it might be a good idea to see what George Soros’ economic predictions for 2015 are; he is one of the world’s most successful hedge. Read More
We continue to see the Chinese economy slow down, which is based on numerous sources both within the government and independent firms. The economic forecast of China has continued to move down according to many people, including myself. However, the worry is that if the economy were to crash suddenly, it would have a severe impact on the. Read More
The American Institute for Economic Research (AIER), a not-for-profit research group, believes that the Consumer Price Index (CPI)—as measured by the government—does not reflect the true inflation rate in this country.The AIER believes that the true cost of living should include everyday items that consumers must spend money. Read More
In terms of what economic growth will look like in 2012, the mainstream is sticking to the “muddling along” economic forecast theory.Just as in 2011, the economic forecast talk is of the U.S. being fine and that we will “muddle along” economically. I’ve been watching markets for 30 years and I’ve never seen economies “muddle. Read More