Skip to Content
Quarter-End Insights

Our Outlook for the Economy

Even as some fret about Fed actions behind the curtain, the U.S. economy is finding its own strength.


  • The roots of the U.S. and world economic recoveries go well beyond a loose Federal Reserve.
  • Oil, housing, advanced manufacturing, improved balance sheets, and labor flexibility will drive the U.S. economy.
  • A weaker China, a tougher Fed, and a tightening U.S. federal fiscal policy will keep a lid on short-term economic activity, but don't be fooled: The long-term fundamentals are strong.

Robert Johnson, CFA does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.