U.S. Economic News
December 30, 2019
U.S. Economic Indicators
The U.S. Census Bureau Advance Economic Indicators Report shows that the goods deficit narrowed to $63.2 billion in November from $66.8 billion in October. Meanwhile, wholesale inventories were unchanged and retail inventories fell 0.7%. Census Bureau Report
The National Association of Realtors Pending Home Sales Index rose 1.2% in November (up 7.4% Y/Y). NAR reports that despite the ongoing decline in housing inventory, favorable conditions for home contracts are expected to last throughout 2020. NAR Report
U.S. News
The Wall Street Journal reports that an additional 1.3 million American workers will be eligible for overtime pay in the new year under the first federal overhaul of overtime requirements in more than 15 years. The change in the annual salary threshold from $23,660 to $35,568 is largely acceptable to businesses and falls far short of the more sweeping version pursued by the Obama administration. WSJ
According to the Financial Times, business loans held by U.S. banks have essentially stalled in the second half of 2019 as a slowdown in capital investment and weakness in the industrial economy weigh on demand for loans. Growth has been largely confined to small and midsized banks whose clients are less exposed to global trade frictions and less likely to turn to bond markets to raise funds. FT