“US Economy Set to Soar Through 2024: Latest Data Reveals Strong Growth Ahead”

The latest data released on Thursday by S&P Global’s flash US composite PMI indicates that the US economy is continuing to show strong growth potential through the end of 2024. The index, which measures activity in both the services and manufacturing sectors, came in at 54.4 in September, slightly down from 54.6 in August but still above expectations.

Chief business economist Chris Williamson noted that the US economy is maintaining a solid pace of growth as it enters the fourth quarter. He highlighted that the October flash PMI suggests that GDP is on track to grow at an annualized rate of around 2.5%, indicating a healthy economic upturn.

One key factor driving this growth is competitive pricing, which has led to a decrease in selling price inflation for goods and services. This trend is in line with the Federal Reserve’s target of 2% inflation, indicating that the economy is performing well.

Market participants are also optimistic about the third quarter GDP print, with projections from Goldman Sachs and the Atlanta Fed’s GDPNow model suggesting annualized growth rates of 3.1% and 3.4% respectively. These strong projections have helped alleviate concerns of a potential recession, with probability of recession models showing improvement in September.

Despite the positive economic data, markets are still expecting the Fed to lower interest rates by 25 basis points at its next meeting in November. However, there has been a shift in market expectations, with fewer rate cuts now being priced in over the next year compared to previous projections. This indicates a more stable outlook for monetary policy moving forward.

Overall, the economic outlook remains positive, with the US economy showing resilience and strength as it heads into the final months of 2024. The data suggests that growth is steady and sustainable, providing a solid foundation for continued economic expansion in the coming year.