U.S.: encouraging market forecasts

In the United States, the Chairman of the Federal Reserve Board declared that the decline in consumer spending posted last month will not last long.

Market forecasts are encouraging for Italian and international exporters, who showed great concern over the decrease. This negative trend, caused by increased inflation and rising oil prices, is only transitory.

The Federal Reserve submitted several economic forecasts to Congress. For this year, the increase in GDP should be between 4.5 and 4.75%, whereas the forecast for 2005 are not as rosy, fluctuating between 3.5 and 4%.

The current unemployment rate is 5.6%, but it is expected to drop to 5.25% by the end of December 2004 and to 5% in 2005.

(Source: Ice)