NAB pushes out first rate cuts to May 2025 as “lower for longer” strategy plays out
Insight
April 30, 2021
US Economic Update – April 2021
GDP growth off to a good start in early 2021 and set to accelerate.
Key highlights:
- GDP grew by a robust 1.6% q/q in Q1.
- With the ongoing vaccination effort supporting a re-opening of the economy, and with the full effects of recent fiscal stimulus still to flow through, growth is set to accelerate further.
- The Fed may be able to announce its intention to taper asset purchases towards the end of 2021, with tapering to commence in Q1 2022, but the fed funds rate will likely be on hold for much longer.
Find out more in NAB’s US Economic Update – April 2021
