Comments from the Philly Fed President:
- Expects significant slowing in Q1 US GDP
- Growth should be strong in H2 and into 2022
- Recent $900B stimulus should buoy economy
This is the consensus view. The average private estimate is -0.7% in Q1 and +10.2% in Q2. The consensus for the year is +3.9% followed by +3.1% in 2022.
- Could cause disruption in markets if the Fed tries to chance the pace of bond purchases too soon
- He could see bond purchases being reduced later but the fewer things we changed the better right now
