You need to know about what is predicted in 2018 and better prepare for that. This will help you decide what to do and what plans you need to make for your business.
Should you invest or not?
The Economist’s chief says that this year will be filled with record events and Donald Trump seems to agree with him. A lot of the statistics say that 2018 is a favorable year for American business houses and seeing wage inflation of up to 3.2% will not be surprising. However, this does not mean that the normal worker’s wages will increase and neither will be the usual employee’s wages. The GDP seems to be rising by 2.5 % which is lesser than Donald Trump’s claim of 3%. Apart from this, America has other good news too in case of the Federal Reserve Monetary fund. The lowering of oil prices in the year 2014 will create huge supply as well as demand in 2018 which will create the spike in oil prices. The drying up of sovereign bonds of Europe and Japan will put America in the G-4 worlds, and it will own ten-year German bonds, Japanese Government, and UK bonds.
Will America be safe this year?
By the estimate of Goldman, there will be a 3.9% annual growth throughout the world by 2020, but the GDP in America will only see a decrease of about 1.5%. Natixis, the French investment bank has warned investors about the economic slowdown in the US. Patrick Artus, an analyst, has written that there is a limit to the level of participation and employment in the US which will see a slowdown. Investors also seem to be unaware of the fact that Trump’s chaotic foreign policies might trigger a trade war on the global scale. Moreover, IMF does not trust Trump for tax cuts.
Should you expand in 2018 or slow down a bit?
Inflation in wages, rise in oil prices and the high tax cuts seems to warn businesses to go about expansion with caution. Wall Street predicts a healthy 2.5% change in the GDP of the county to reflect in increasing optimism in the economy. As Wall Street seems to be excited with the tax cuts and revised salary budgets, it is a good time regardless of the fact that you are an entrepreneur or a large business tycoon.