Key highlights:

• A spike in January retail sales point to an immediate boost from end-2020 fiscal stimulus.
• The combination of the end 2020 stimulus (still largely unspent) with another (potentially much larger) fiscal stimulus package on the way, an elevated level of household savings, declining COVID-19 case numbers and the vaccine roll-out, point to very strong growth over the rest of 2021.
• We have revised up our forecast for 2021 GDP growth to 5.0% (previously 4.5%) and expect growth of 3.9% in 2022.

Find out more in NAB’s US Economic Update – February 2021