{"id":8215,"date":"2019-09-03T20:37:30","date_gmt":"2019-09-03T20:37:30","guid":{"rendered":"https:\/\/zackspcg.com\/blog\/?p=8215"},"modified":"2022-02-26T13:07:13","modified_gmt":"2022-02-26T13:07:13","slug":"modest-u-s-growth-hard-brexit-assured-plus-more","status":"publish","type":"post","link":"https:\/\/zacksim.com\/blog\/modest-u-s-growth-hard-brexit-assured-plus-more\/","title":{"rendered":"Modest U.S. Growth, Hard Brexit Assured, Plus More"},"content":{"rendered":"\n<p>The U.S. saw modest\nbut steady economic growth while Britain seems to be headed for a hard Brexit.\nRead on to see how these stories could impact the market.<\/p>\n\n\n\n<p><strong>Hard Brexit Becomes\nMore Likely \u2013 <\/strong>With the appointment of Prime Minister Boris Johnson, the\nprobability of Britain leaving the European Union <em>without a trade deal in place <\/em>moved higher. But actions this week\nmake the reality of a \u201chard Brexit\u201d seem almost inevitable \u2013 Prime Minister\nJohnson asked permission from Queen Elizabeth II to shut down Parliament for five\nweeks through mid-October, all but assuring that opposition lawmakers would be prevented\nfrom blocking a no-deal Brexit. Shutting down Parliament for five weeks \u2013 when\nthere are only eight weeks left to before a hard Brexit \u2013 all but assures that Britain\nwill be confronted with the consequences of not having trade and customs\nagreements with one of their largest trading partners: the European Union. The\npound sterling (Britain\u2019s currency) continues to slide against the dollar as\nthe deadline approaches (see chart). The date to watch is October 31, when a\ndivorce from the EU would be final with or without a deal.<sup>1<\/sup> <\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/zacksim.com\/blog\/wp-content\/uploads\/2022\/02\/fredgraph_17-1024x395.png\" alt=\"\" class=\"wp-image-8216\"\/><\/figure>\n\n\n\n<p><strong><em>Source: Federal Reserve Bank of St. Louis<sup>2<\/sup><\/em><\/strong><\/p>\n\n\n\n<p>______________________________________________________________________________<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/go.steadyinvestor.com\/download-ultimate-retirement-portfolio?source=website&amp;medium=blog&amp;term=steadyinvestor_blog_2019_9_4&amp;content=ultimate_retirement_portfolio\">Get These 7 Secrets to Building the Ultimate Retirement Portfolio<\/a>\u00a0<\/strong><br> \u00a0<br> From news surrounding Brexit to U.S. trade updates and navigating market cycles, it is no small feat to create a retirement portfolio that meets your financial goals. To build a portfolio that can potentially reach your goals, you must put some time and effort into defining your investing objectives, determining your asset allocation, and managing your investments over time.<br> \u00a0<br> If you have $500,000 or more to invest, I recommend downloading our guide\u00a0<em>7 Secrets to Building the Ultimate DIY Retirement Portfolio.<\/em>\u00a0It provides a step-by-step blueprint of our customized investing process to potentially help you build a sound retirement portfolio of your own and pursue long-term investing success.<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/go.steadyinvestor.com\/download-ultimate-retirement-portfolio?source=website&amp;medium=blog&amp;term=steadyinvestor_blog_2019_9_4&amp;content=ultimate_retirement_portfolio\">Download Your Copy of\u00a0<\/a><em><a href=\"https:\/\/go.steadyinvestor.com\/download-ultimate-retirement-portfolio?source=website&amp;medium=blog&amp;term=steadyinvestor_blog_2019_9_4&amp;content=ultimate_retirement_portfolio\">7 Secrets to Building the Ultimate DIY Retirement Portfolio.<\/a><sup><a href=\"https:\/\/go.steadyinvestor.com\/download-ultimate-retirement-portfolio?source=website&amp;medium=blog&amp;term=steadyinvestor_blog_2019_9_4&amp;content=ultimate_retirement_portfolio\">2<\/a><\/sup><\/em><\/strong><\/p>\n\n\n\n<p>_____________________________________________________________________________<\/p>\n\n\n\n<p><strong>U.S. Q2 GDP: Modest\nbut Steady &#8212; <\/strong>The U.S.\nBureau of Economic Analysis (BEA) generally releases U.S. GDP growth data in\nthree iterations, with the first iteration usually being the least reliable. As\nthe Bureau has more time and more information to make GDP calculations, the GDP\ngrowth figure gets revised to more accurately reflect the complete data set. As\napplied to Q2 2019, the BEA has revised their initial estimate down by just\n0.1%, which offers a safe assumption that U.S. GDP grew 2.0% in Q2. In the\nfirst quarter, real GDP rose 3.1%. Profits from current production (corporate\nprofits with inventory valuation and capital consumption adjustments) increased\n$105.8 billion in the second quarter, in contrast to a decrease of $78.7\nbillion in the first quarter.<sup> 4<\/sup> On balance, we view this as modest \u2013\nbut quite steady \u2013 economic growth. <\/p>\n\n\n\n<p><strong>New NAFTA Remains\nStuck in Congress<\/strong> \u2013 Remember the new trade deal between the U.S., Canada,\nand Mexico known as the USMCA? Many believe that the trade deal is over and\ndone with, and on the books, but in fact it hasn\u2019t even been brought up for a\nvote in Congress. Given that Mexico is Texas\u2019 biggest trading partner, and\nCanada is its second (as measured by Texas\u2019s exports), a Congressman from Texas\nis leading a renewed push to bring the trade agreement up for a vote in the\nHouse. As it were, the United States is mired in two trade dilemmas with no\nclear path forward, the resolution of which could arguably bring back enough\neconomic certainty to give the expansion more room to run.<sup>5<\/sup> <\/p>\n\n\n\n<p>In the meantime, as we wait to see how this story\nand others pan out, I recommend focusing on your long-term financial goals. To\nhelp you do this I am offering our just-released free guide,&nbsp;<em>7 Secrets\nto Building the Ultimate DIY Retirement Portfolio<\/em>.<sup>6<\/sup>&nbsp;It\nprovides a step-by-step blueprint of our customized investing process to\npotentially help you build a sound retirement portfolio of your own and pursue\nlong-term investing success.<br>\n&nbsp;<br>\nIf you have $500,000 or more to invest, get this\nguide to learn our ideas on the step-by-step process to building and\nmaintaining a retirement portfolio that will help you reach your goals and\nenjoy a secure retirement.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>GDP in Q2 up 2%, Brexit opposition blocked, new U.S.\/Mexican\/Canadian trade deal still stuck<\/p>\n","protected":false},"author":3,"featured_media":7426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-8215","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"acf":[],"_links":{"self":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8215","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/comments?post=8215"}],"version-history":[{"count":1,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8215\/revisions"}],"predecessor-version":[{"id":10718,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/8215\/revisions\/10718"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/media?parent=8215"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/categories?post=8215"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/tags?post=8215"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}