Wall Street predicts economy slowing dramatically as 2020 nears
Federal Reserve Chairman Jay Powell recently suggested that economic conditions may be “too good to be true.” A new report from Goldman Sachs suggests he was on to something.
The bank is projecting economic growth will slow “significantly” in the second half of 2019 as the twin jolts from tax cuts and a bump in federal spending fade while the Fed continues raising interest rates. More precisely, it expects this year’s heady pace of 3 percent-plus growth will sink to 1.75 percent by the end of next year.
<snip> Such a slowdown could have dramatic political repercussions for the Trump administration and the broader Republican Party, which remain invested in a roaring economy offering an effective argument heading into the 2020 election. That proved a losing bet in the midterms, in which House Democrats scored their biggest midterm pickups since the post-Watergate election of 1974. More troubling for the GOP, the Democrats’ performance was arguably the best in history for an out-of-power party amid such strong economic conditions. If the economy hits a skid, Republican losses in the next election could get even worse. <snip>
Full Article: https://www.washingtonpost.com/news/powerpost/paloma/the-finance-202/2018/11/20/the-finance-202-wall-street-predicts-economy-slowing-dramatically-as-2020-nears/5bf346a11b326b392905493e/?noredirect=on&utm_term=.455812a1cd2e
Don't want to see an economic downturn happen but there are many indicators which are troubling. Prepare yourself, your families and loved ones as best you can.
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