The economy is booming. 5 reasons that could change in 2022
By Matt Egan, CNN Business - December 31, 2021
New York (CNN Business)The US economy is heading into 2022 with serious momentum. The recovery gained steam in the last few months, capping off what could be the fastest year of GDP growth since 1984, when Ronald Reagan was in the White House.
The hope is this rapid expansion continues in 2022, allowing the country to heal most of the economic wounds caused by the health crisis. The jobs market could return to full employment by the end of 2022. And red-hot inflation is expected to finally cool off, moving towards healthier levels.
And yet, the past two years have shown how unforeseen events can alter forecasts, sometimes dramatically.
For all its recent strength, the economy's recovery faces multiple risks in 2022, starting with the force that continues to dominate daily life: Covid.
Record highs in the stock market suggest investors are betting neither Omicron nor another variant will prove problematic. "I hope they're right," said David Kotok, chief investment officer at Cumberland Advisors. "This is a mutating disease. We've now had two years experience. What makes anyone believe Omicron is the last one?"
Read the full article at CNN: https://www.cnn.com/2021/12/31/economy/economy-covid-inflation-2022/index.html
Links to other websites or electronic media controlled or offered by Third-Parties (non-affiliates of Cumberland Advisors) are provided only as a reference and courtesy to our users. Cumberland Advisors has no control over such websites, does not recommend or endorse any opinions, ideas, products, information, or content of such sites, and makes no warranties as to the accuracy, completeness, reliability or suitability of their content. Cumberland Advisors hereby disclaims liability for any information, materials, products or services posted or offered at any of the Third-Party websites. The Third-Party may have a privacy and/or security policy different from that of Cumberland Advisors. Therefore, please refer to the specific privacy and security policies of the Third-Party when accessing their websites.
Cumberland Advisors Market Commentaries offer insights and analysis on upcoming, important economic issues that potentially impact global financial markets. Our team shares their thinking on global economic developments, market news and other factors that often influence investment opportunities and strategies.