As the new year begins, economic activity is subdued, with limited data releases and market movements. The U.S. economy is performing exceptionally well and is expected to overcome challenges in the coming year, despite anticipated policy changes.
In the housing sector, high mortgage rates and low affordability have led to record-low home sales, indicating a challenging year ahead for the housing market.
Globally, energy demand growth is slowing, suggesting that oil prices will remain subdued, with this trend continuing into next year.
In the labor market, the unemployment rate is forecast to edge slightly lower but remain at or near 4% for the next few years, indicating a stable employment outlook. Economy.com
In the euro zone, headline inflation is expected to rise slightly above target in the fourth quarter; however, price pressures are not likely to run out of control.
Overall, while the start of the new year is quiet in terms of economic activity, various sectors are showing trends that will be important to monitor in the coming months.
