U.S. Economic News
September 23, 2019
U.S. Economic Indicators
The Chicago Fed National Activity Index rose from -0.41 in July to 0.10 in August. Indicators of employment, consumption, and sales, orders, & inventories made negative contributions to the Index, while production-related indicators contributed positively. Chicago Fed Report
U.S. News
Paul Kiernan of the Wall Street Journal reports that the personal saving rate has risen from just 3.7% in 2010 to 8.2% in 2019, even though saving usually declines as consumer optimism rises during economic expansions. While some of the uptick in the average saving rate could be due to increased caution among consumers after the last recession or aging baby boomers preparing for retirement, most of the bump can be attributed to wealthy households holding onto gains from the 2018 tax cuts. WSJ
The Financial Times reports that investors are increasingly concerned about a global recession, with the likelihood of a downturn in the next year standing at over 50%, according to a recent survey of asset managers. Survey respondents expressed a dimming outlook for business confidence, corporate earnings, and U.S. employment over the next year. FT