U.S. Economic News
October 1, 2019
U.S. Economic Indicators
The ISM Manufacturing Index declined 1.3 percentage points to 47.8 in September. The Employment Index fell 1.1 percentage points to 46.3, while the New Orders Index rose 0.1 percentage point to 47.3. ISM Report
Construction spending edged up 0.1% in August to an annualized rate of $1.29 trillion. Private construction was essentially unchanged while public construction rose 0.4%. Census Bureau Report
U.S. News
According to the Wall Street Journal, Chicago Fed President Charles Evans stated that the recent Fed rate cuts were necessary to keep the economy on track, and the economy remains generally healthy despite potential risks which may or may not materialize. He expects the U.S. economy to grow at a rate of around 2.25% in 2019 and for inflation to slowly rise to the central bank’s 2% target over the next several years. WSJ
The Wall Street Journal reports that average terms for car loans are growing longer in response to a rapid rise in car prices despite tepid income growth over the past decade. About a third of loans for new vehicles in 2019 had terms of longer than six years — the standard length — while the total volume of U.S. auto-related debt has risen to nearly $1.3 trillion. WSJ