Resilient consumer spending buoys US Q3 GDP growth

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The US economy grew by 4.9% q/q in Q3, beating expectations of 4.5% growth, with strong consumer spending recorded across all segments. This level of economic resilience is unlikely to be sustained – we forecast annual GDP will grow by 2% in 2023 and 1-1.2% in 2024 - but it may imply a need to raise US interest rates further. By contrast, in the euro area, the European Central Bank’s decision to hold interest rates unchanged at 4.5% to rein in inflation is likely to put various economies, including Germany, under significant pressure. Click here to listen to STANLIB’s Chief Economist, Kevin Lings, discuss the trends.

30 Oct 2023 English South Africa Investing · Business News

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