USA’s Nearly in Crisis Again
Over a year after the recession ended in June 2009 stated, the United States economic recovery is still unstable. Two major fund managers worry the U.S. economy will face a new explosion of next year. Anxiety is triggered by the fact that economic growth is still driven by government spending. That was not enough to reduce the unemployment rate reached 9.8 percent last month. Speaking at the Reuters Investment Outlook 2011 Summit, on Monday local time, John Taylor, CEO of the fund management company, FX Concepts, are betting America will again hit by recession in mid-2011. Taylor also skeptical U.S. central bank’s policy, The Federal Reserve (the Fed), which flushed the money into the market can boost economic growth.
Gail Fosler, president of the company’s financial advisors, GailFosler Group LLC, said the U.S. economy still faces the risk of deterioration due to lack of growth momentum. Fosler view, the economic projections in 2011 is still bleak. But, by mid-2012, growth will be improved and the unemployment rate will fall. He estimates the economic growth of about 2.5 percent in 2011. In addition, Fosler still optimistic for some sectors. Suppose housing, which became ringleader recession of 2008, has begun to stabilize.
Instead, investors have a brighter outlook. Jim O’Neill, chairman of Goldman Sachs Asset Management, said Goldman has raised its U.S. economy next year. “Our expectation is quite good in the next five years. We are more optimistic than anyone else in America,” said O’Neill. Manager of fund management company, Esplanade Capital LLC, Shawn Kravetz, say, in the short term, the retail industry will improve. While in the long term is still uncertain.
December 8th, 2010 at 4:00 am
I hope USA back to success