The Trump $1.5 trillion hefty tax cuts and $1 trillion infrastructure expenditures may speed up the Federal Reserve interest rate hike.

Joseph Corr

2018-03-15 07:41:00 Thu ET

The Trump administration's $1.5 trillion hefty tax cuts and $1 trillion infrastructure expenditures may speed up the Federal Reserve interest rate hike due to robust labor market growth. The U.S. economy adds more than 313,000 non-farm payroll jobs in early-2018. The stellar key labor market growth is stronger than most macro projections, and the U.S. unemployment rate stays at 4.1% or the lowest level in 17 years. Wages also grow at 2.6% and remain a few notches below the prior pace. Productive progress in U.S. employment and economic output continues without higher inflation near the 2% target. In accordance with most macro expectations, the Federal Reserve expects to raise interest rate 4 times in 2018 and maybe 3-4 times in 2019. The current neutral interest rate hike helps attain the congressional dual mandate of maximum employment and price stability.

Senate majority leader Mitch McConnell announces the new budget deal. This deal can be sustainable with $15 trillion national debt and $80-$95 billion budget deficit projections over the next 2 years. A key issue concerns how long Congress should raise the national debt limit, which the U.S. economy may hit as soon as April 2018. Republicans and Democrats still need to negotiate the exact parameters to reach bipartisan agreement.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

The Economist interviews President Trump and spots the keyword *reciprocity* from trade to taxation.

Amy Hamilton

2017-07-01 08:40:00 Saturday ET

The Economist interviews President Trump and spots the keyword *reciprocity* from trade to taxation.

The Economist interviews President Donald Trump and spots the keyword *reciprocity* in many aspects of Trumponomics from trade and taxation to infrastructur

+See More

Is Bitcoin a legitimate (crypto)currency or a new bubble waiting to implode?

Monica McNeil

2017-11-24 08:41:00 Friday ET

Is Bitcoin a legitimate (crypto)currency or a new bubble waiting to implode?

Is Bitcoin a legitimate (crypto)currency or a new bubble waiting to implode? As its prices skyrocket, bankers, pundits, and investors increasingly take side

+See More

Carol Dweck describes, discusses, and delves into the scientific reasons why the growth mindset often helps motivate individuals, teams, and managers to accomplish more with greater grit, focus, and resilience.

Dan Rochefort

2025-05-21 04:27:10 Wednesday ET

Carol Dweck describes, discusses, and delves into the scientific reasons why the growth mindset often helps motivate individuals, teams, and managers to accomplish more with greater grit, focus, and resilience.

Carol Dweck describes, discusses, and delves into the scientific reasons why the growth mindset often helps motivate individuals, teams, and managers to acc

+See More

President Trump criticizes the WTO and proposes indexing capital gains taxes to inflation for U.S. investors.

Charlene Vos

2018-08-29 10:37:00 Wednesday ET

President Trump criticizes the WTO and proposes indexing capital gains taxes to inflation for U.S. investors.

In an exclusive interview with Bloomberg, President Trump criticizes the World Trade Organization (WTO), proposes indexing capital gains taxes to inflation

+See More

Warren Buffett stock market investment principles

Daphne Basel

2020-02-05 10:28:00 Wednesday ET

Warren Buffett stock market investment principles

Our proprietary AYA fintech finbuzz essay shines light on the modern collection of business insights with executive annotations and personal reflections. Th

+See More

Blue-ocean strategists shift focus from current competitors to alternative non-customers with new market space.

Apple Boston

2020-05-21 11:30:00 Thursday ET

Blue-ocean strategists shift focus from current competitors to alternative non-customers with new market space.

Most blue-ocean strategists shift fundamental focus from current competitors to alternative non-customers with new market space. W. Chan Kim and Renee Ma

+See More