Vanguard economic and market update
30 October 2019 | Markets and Economy
Vanguard's key points:
- Vanguard now sees US economic growth of around 1% in 2020, significantly lower than the current trend. Growth forecasts have also been lowered marginally for the euro area and the UK.
- We now expect at least two further cuts in US interest rates, with at least one cut likely in 2019.
- Vanguard now sees a higher risk of a US recession in 2020. However, our baseline view is that any recession would be shallow, with real economic growth of 0.5%–1.5% next year.
- Predicting recessions is hard; timing the market is harder. Vanguard advises investors to create long term plans to withstand the market's ups and downs.
Investment risk information:
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