Deutsche Bank upgrades US GDP to 7.4% in 2021 on stimulus push – Reuters

Dhwani Mehta FXStreet

The Deutsche Bank economists raised their 2021/2022 forecasts for US GDP amid expectations of a bigger stimulus package, Reuters reports, citing a strategist at the German bank on Wednesday.

Key quotes

"They've revised their baseline expectations for the next fiscal plan up from nearly $1 trillion to $1.6-1.7 trillion, with their 2021 growth forecast upgraded by 1.2 percentage points to 7.5% (Q4/Q4) and their inflation numbers pushed a bit higher too with risks on the upside.”

“Expect the Federal Reserve to announce a tapering of its bond buying programme at the December meeting with a clear signal of the timeline in August.”

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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