First more jobs and now a resurgent economy – January has seen President Obama’s undeclared re-election campaign make a dream start, says Marcus Bullus (pictured), trading director at MB Capital…
The fourth quarter GDP figures may have undershot predictions. But any disappointment should be mitigated by one plain truth – they are the best evidence yet that the American economic giant is stirring from its slumber.
The markets had hoped for better – so this solid rather than stellar performance may not be enough to keep this month’s raging bull of a market from charging upwards and onwards.
All eyes will now turn to next week’s non-farm payrolls to see if job creation is matching the growth.
Inflation remains the lingering threat to the revival of the US economy, and consumer confidence is still fragile.
And there’s also the small matter of threat posed by the continued crisis in the eurozone.
Question marks abound on the very survival of the single currency, and Spain appears to have entered a flat spin, with its announcement today of a jaw-dropping 23% unemployment rate.