Once again, the economic metrics we follow indicate growth is strong around the world. The ultra-loose monetary policies that were implemented due to the financial crises a decade ago have led to an expanding global economy resulting in many countries continuing to see strong GDP growth. Labor markets are solid, global trade is healthy and commodity prices are higher. All of which have led to the best global growth in over seven years.
The U.S. economy is benefiting from a job market that continues to improve. Unemployment is at a historical low of 4.1% and wages are slowly rising – and should continue to do so at an accelerating rate in 2018. Housing is often the greatest indicator of how the consumer feels about the economy. Construction continues to be strong as existing home sales hit an annual rate of 5.81 million homes in November 2017, the highest level since 2006. This is still well below the levels seen in 2005 during the construction boom times. And, U.S. GDP has been revised upward to 3.2% for 2018.