The Plow Horse Economy Returns? We haven’t been worried about a trade conflict with China…However, we are more concerned about President Trump’s recent tariff threat toward Mexico…Using tariffs to achieve policy goals outside of foreign trade makes it much more difficult for international companies to plan ahead.
Author Archives: Charles Scott
Don’t Count on a Rate Cut. The US economy is nowhere even close to needing one rate cut much less two. Nominal GDP – real GDP plus inflation – was up at a 3.8% annual rate in the first quarter, is up 5.1% from a year ago, and is up at a 4.8% annual rate in the past two years, all well above the federal funds rate of 2.375%.
Trade War Hysterics. Anyone can invent a scenario where some sort of Smoot-Hawley-like global trade war happens. Realistically, though, that appears very unlikely…In the end, China wants to trade with the West, not North Korea, Russia, and Venezuela. China needs the West. And all these trade war hysterics just aren’t warranted.
10 Tough Conversations You Need to Have Before You Retire. Thank you to Cameron Huddleston for including me in her article for GoBankingRates.com. You’re retired, now what? For many, spending up to 10 plus hours a day working was not uncommon. What will you do to fill every day in retirement for the next 25-35 years? Knowing the answer is key to your wellbeing in retirement.
The Big Picture and the Fed. If you take a long hike up a mountain, there’s plenty to appreciate along the way. But, sometimes, you just have to stop and enjoy the view. With that in mind, let’s forget about the April employment report – which saw a combination of very fast payroll growth and moderate wage growth – and think about where the labor market stands in general.