Recently, the U.S. Federal Reserve warned of a weaker-than-expected economic recovery. This news sent markets around the world into tailspins, as concerns about short-term economic recovery rose. The Fed announced plans to keep working on economic recovery, despite its forecast that it will take much longer than expected. Several different factors caused the Fed to make this announcement, but plenty of warning signs make this less than a complete surprise for most. In the UK, the Bank of England’s decision to keep interest rates at the same low level has been a sure sign that the speedy economic recovery that many have been hoping for simply isn’t in the cards. (more…)
Archive for the ‘US Economy’ Category
Markets Across World Drop at News of Weak Recovery
Friday, August 13th, 2010Forecast For Global Growth in 2010 Raised
Friday, July 16th, 2010The International Monetary Fund, or IMF, recently announced that its previous forecast of 4.2% global growth for the year 2010 has been raised to 4.6%. This change was largely precipitated by increasingly robust growth in Asia. Many people around the globe are looking at this revision with optimism; unfortunately, however, the UK was one of the few countries whose growth was actually downgraded by the IMF. Indeed, the UK’s projected growth had been set at 2.5%; under the revised data, that growth is set at 2.1%. Needless to say, the UK is hardly rejoicing in these new numbers. However, if the economy of the world as a whole is picking back up, it should only be a matter of time before the good news spreads. (more…)
New Home Sales in US Hit All-Time Low
Friday, July 16th, 2010For many months now, home buyers in the U.S. have enjoyed the benefits of considerable tax credits for buying new homes. Although the housing market in the States has been lackluster at best – and positively dismal at worse – these tax credits have helped buoy those numbers and have helped boost new home sales. Unfortunately, though, those tax credits recently expired; a last-minute run by many home buyers to take advantage of those tax credits boosted sales in April, but that trend appears to have fallen quite flat now that they are no longer available. The entire world has been keeping an eye on home sales in the U.S., hoping for signs of improvement; the latest numbers reveal that improvement is far from underway. (more…)
