The United States: Lower interest rates have been helpful for consumption. Interest-sensitive durable goods (products that do not wear out in a short time like food) are having a larger contribution to US consumer spending.
The United Kingdom: The UK’s productivity has been lagging.
The Eurozone: Germany’s industrial production appears to show some stabilization.
Equities: The S&P 500 appears to be fairly valued based on current inflation (as long as the CPI remains positive).
Global Developments: This chart shows the Oxford Economics estimates of the US fiscal multiplier effects on the global economy. The fiscal multiplier is, in simplified terms, how much of an increase on Gross Domestic Product (GDP) is caused by $1 of tax cuts. Read more about it here.
Food for Thought: President Trump’s Twitter activity:
Edited by Devon Lall
To receive the Daily Shot Premium, you need to be a subscriber to The Wall Street Journal. The Daily Shot readers qualify for a special membership offer of $1 for 2 months and can join simply by clicking here.
If you are already a WSJ member, you can sign up for The Daily Shot at our Email Center by clicking here.
The Daily Shot Premium is also available online at DailyShotWSJ.com
If you have any issues at all, please contact a Customer Service representative by calling 1-800-JOURNAL (1-800-568-7625) or sending an email to email@example.com.
Contact the Daily Shot Editor: Editor@DailyShotLetter.com