Economy
August 2, 2019
CRU: Consumer Spending is the Major Driver of GDP Growth
Written by Tim Triplett
By CRU Principal Economist Lisa Morrison
Total IP contracted q/q in both Q1 and Q2, but the June report pointed to potential stabilization in manufacturing. YTD through June, total IP is up 2.2 percent y/y, but it is averaging just 1 percent higher than in 2018. Since we expect little expansion during H2, we now forecast total IP growth of 0.9 percent in 2019, increasing to 1.5 percent in 2020 (barring any further negative impacts from trade policy).
