“Unexpectedly,” the world doesn’t behave as the mainstream forecasters want it to.
While they continue talking about a massive recession coming… the world moves on and delivers positive news.
Both the United States and the United Kingdom have released better-than-expected economic growth numbers recently…
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The U.K. economy unexpectedly grew in November, helped by a boost from the World Cup, official figures show. (BBC)
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The U.S. economy logged better than expected growth in the final quarter of 2022, even as the Federal Reserve’s aggressive campaign to raise borrowing costs began to weigh more heavily on business activity. (Financial Times)
We are not at the end of the economic cycle yet.
The World Economy Is Expanding
But before we go on, welcome to Cycles Trading with me, Phil Anderson. My aim with this three-day-per-week e-letter is to introduce you to the most powerful knowledge for building wealth. That is, learning the importance of the 18.6-year real estate cycle and its key relationship to understanding stocks.
The fact is that no one else studies the market like this.
Most people are either “real estate people” or “stock people.” Very few are both. But by only looking at half the story, more often than not, they miss what’s really moving the market, and therefore miss the opportunity to profit from those moves.
By regularly tuning into this e-letter, we’ll help you understand the full story and show you how to make the most of any market. In today’s case, we’ll show you how my research going back over 200 years says the global economy will remain strong for several years yet.
And looking at the numbers just released by the United States, here’s what I’m seeing.
Consumer spending, the main driver of the U.S. economy, increased by 2.1% over the same period in 2021.
And jobless claims came in at a nine-month low.
None of this suggests imminent disaster.
The experts who see one coming need to have their vision checked.
Even if there is a slight downturn, there is nothing in my research or incoming data that suggests a structural weakness in the economy.
On the contrary, my 18.6-year cycle says the global economy will do well in the near term.
The cycle isn’t over… and it will not be for years.
Watch the media change the narrative this year from “imminent disaster” to “a soft landing is possible” to “sometime in the future, we will have a recession, but for now, it’s all good.”
They don’t know. They never did. They just follow each other’s forecasts and hide in the safety of consensus.
We’re not here to do that. I have built multimillion-dollar businesses and invested my own money based on my cycle theory… not Wall Street Journal “analysis.”
And I have just been proven right… again.
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The U.S. economic outlook and monetary policy (Federal Reserve Bank of Dallas)
Regards,
Phil Anderson
Editor, Cycles Trading with Phil Anderson