More evidence that the economic recovery has begun
July 14, 2020
Economic Review: Economic Review: The recovery accelerated in June (Page 3)
A second consecutive record-breaking employment report provided additional evidence that the re-opening of much of the U.S. economy was having strongly positive impacts on job growth and unemployment. Combined with other strong data from the housing/mortgage markets, business activity, and consumer spending, this points to a high likelihood that – barring another downturn due to additional shutdowns from increasing COVID-19 infections – we have seen the bottom of the current recession.
Financial Markets Review: Financial Markets Review: A bumpy ride, but grinding higher (Page 4)
Financial markets rode a rollercoaster of optimism over the reopening of the economy and pessimism of rising new COVID infection rates. But further relaxing of mandated government lockdowns allowed for more mobility and a surge in consumer spending, boosting companies’ prospects and pushing equity prices higher.
The Outlook: The Outlook: Housing strength bodes well for broader recovery (Page 5)
The recovery has been promisingly solid since lockdown restrictions began to be eased two months ago, as employment, consumer spending, and manufacturing activity have all bounced back both more quickly and more strongly than had been expected. Perhaps most encouraging of all, however, has been the robust turnaround in the housing market, which itself hints at continued gains for the economy at large.