8 Positive Trends in the Economic Outlook
While much of the global economic outlook is dismal, I see a few reasons for optimism for the next five years. Below are a few highlights from the webinar I gave to senior executives at Pentair; the recording is available below.
- The U.S. economy will remain at full employment (defined as at or below 5% unemployment) over the next five years.
- The dollar will peak this year and then depreciate against major currencies while remaining stable against emerging currencies.
- Strong domestic demand is buffering the U.S. from the rest of the world.
- Commodity price deflation is ending; I expect a moderate rebound.
- In 2017, mining and drilling exploration will rebound from its sharp plunge.
- Housing will see strong demand growth over the next five years.
- European manufacturing is showing positive (though still weak) momentum.
- Global industrial production should accelerate from weak to modest growth in 2017 and 2018.
If you are interested in having a MAPI Foundation economist present at your management meeting or industry event, please email me.