Goldman Sachs on 3 developments that will slow US growth to a crawl in Q4 2023, just 1.3%

Goldman Sachs with a very subdued outlook for US economic growth into the end of the year, this in summary:

Three developments are set to temporarily slow growth:

  1. resumption of student loan payments
  2. the federal government looks more likely than not to temporarily shut down
  3. UAW strike

Taken together, we expect quarterly annualized GDP growth to slow from +3.1% in Q3 to +1.3% in Q4 (vs. consensus of +2.9% and +0.6%)

We expect the slowdown to be shallow and short-lived, with GDP growth rebounding to +1.9% in Q1 (vs. consensus of +0.1%) as these temporary drags abate and income growth reaccelerates on the back of continued solid job growth and rising real wages.

JPM Asset Management looking for worse:

This article was written by Eamonn Sheridan at Source