US growth will be well below consensus forecasts

Perpetual Equity Investment Company

Perpetual Asset Management (Australia)

The impact of the higher US dollar and capex reduction from oil has not completely flowed through the US growth figures yet, so the activity expansion is likely to remain softish for at least another month before improving in the second half of this year. As such, I maintain my view that US growth is likely to be around 2.6% for 2015, which will be better than last year but well below consensus forecasts. As such, I think the US Fed should delay its tightening cycle to very late this year, but the US dollar is likely to rally nonetheless given the growth relativities with Europe and Japan. This is why I think Japan, Europe and parts of Asia will outperform the US and Australia.


Perpetual Equity Investment Company
Perpetual Asset Management (Australia)

The Perpetual Equity Investment Company Limited is an ASX listed investment company offering investors access to a portfolio of predominantly high quality Australian and global listed securities, selected by Perpetual Investment Management Limited.

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.