As we wind down 2024, here’s a look at some of the key events affecting the economy and potential effects going forward. By any definition, it has been quite a year! One of the most notable events was the decrease in US inflation, down from about 9% to less than 3%. Even with the aggressive measures taken by the Federal Reserve to make it happen, a major downturn was avoided. In September, a rate cut was finally implemented, with others in November and December.
The US elected a new president and, as always, the resulting changes will be neither as negative nor as positive as many fear/ hope. On balance, we expect moderate growth, with some shifts positive but others negative for business activity. We will track the various machinations in both directions.
Several additional countries saw leadership changes, and others may do so in the near future. Good news is coming out of some areas with regime changes, but challenges clearly remain in others (especially in Europe).
