Fed's Kaplan: US economy could grow next year by approximately 3.5%

Ross J Burland FXStreet

Dallas Federal Reserve President Robert Kaplan said on Wednesday that economic activity is shifting during the pandemic to sectors that do not rely on face-to-face interaction, and Americans most affected by job losses will need help getting back to work.

Kaplan said during a virtual discussion organized by the Dallas Fed that People in the industries hardest hit during the pandemic, including women and minorities, will need training, child care and other resources to return to the labour force,

''The US economy is likely to contract by about 2.5% in 2020 and could grow next year by approximately 3.5%'', he said.

Dollar implications

The market has priced much of this sort of rhetoric in already and the greenback could be on the verge of staging a recovery according to the following technical analysis:

Bullish Reverse Head & Shoulders?

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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