TPLC - Economic Update - Q2 2024
2024-07-17 04:35:00 ET
Summary
- The US economy is still growing (positive GDP) but growth has slowed and signs of weakness are apparent. This should not be a surprise: the Federal Reserve raised interest rates by about 5.5% between Spring of 2022 and Summer of 2023 in an attempt to slow the economy to reduce inflation.
- The US Consumer remains resilient, but low savings rates and rising credit card delinquencies bear watching for a potential pullback in consumer spending.
- The Employment situation has been strong coming out of the Pandemic but most recent employment data points to a negative trend.
- The Housing market has felt the effects of higher interest rates most acutely: pending home sales are near record lows and mortgage rates are high.
- Subjective measures of Consumer Sentiment have improved since the lows of 2022 but remain well below average. Sentiment is particularly poor in the housing market, with a record low number of people feeling that this is a good time to buy a house.
Originally published on July 15, 2024
Economic Update - 2Q24
In this update, we present charts and data from key areas of the US economy: the Consumer, the Employment Situation, the Housing Market, and Consumer Sentiment....
Economic Update - Q2 2024