Nomura

US Economic Weekly Update

Our weekly update of the developments and key themes around the US economy

  • We expect a rebound in February nonfarm payroll employment growth, while weather disruptions could distort business surveys during the month.
  • Near-term drag from the pandemic should give way to medium-term strength as social consumption recovers and Democrats deliver substantial fiscal stimulus in 2021.
  • Our overview highlights the key releases of US economic market data.

US Economic Weekly Key Insights

  • The recent sharp increases in interest rates will likely put pressure on the Fed to adjust their communication ahead of the March FOMC meeting.
  • We expect the Fed to respond primarily by emphasizing their forward guidance for short-term rates.
  • However, at the March meeting, the Committee may discuss other options including adjusting the Fed’s asset purchases.
  • Following the House last week, the Senate will work to approve the $1.9tn American Rescue Plan this week, although some changes will need to be made to the House legislation.
  • We expect relatively healthy readings for the first round of key February data including a 200k increase in nonfarm payroll employment.

Read our full US Economic Weekly report here.



US Markets - Economic Data and Events Calendar

Contributor

  • Lewis Alexander

    Chief US Economist

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