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RecentlyreleasedUSeconomicindicatorsremainencouraging,andsuggestthatUS
economicgrowthremainsabovetrendin2017.
STANLIBisanauthorisedfinancialservicesprovider
USeconomicgrowthremainsabovetrend.
ThetheUSleadingeconomicindicatorrosebyafurther0.3%m/m,inlinewithmarket
expectations.Overthepastyeartheleadingindex,ascompiledbytheConferenceBoard,is
up3.5%y/y.Thismomentumofthelastsixmonthssignalsapick-upineconomicgrowthin
theUSoverthenext6-12months.
TheConferenceBoardeconomistindicatesthatthisdatatranslatesintothelikelihoodofthe
USeconomyremainingonoraboveitslong-termtrendof2%growthfortheyear.Thisis
corroboratedbythehighly-respectedFederalReserveBankofChicago’sNationalActivityIndex.
Thisisdue,inpart,totheelectioncampaignpromisesmadebyDonaldTrump,andthose
madeinthedaysfollowinghiselection(taxcuts,extensivederegulation,effectivetrade
protectionandinfrastructuralspending).TherecenttrendindicatesthattheUSeconomy
shouldcontinuetoshowsolidgrowthinthesecondhalfof2017andintoearly2018ifthe
Trumpadministrationisabletoimplementpolicymeasuresaimedatstimulatingprivate
sectorfixedinvestmentspending.

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