Corporate foreign exchange news

Analysts expect US recession eased in Q2

Friday, 31 July 2009 09:29:20 GMT

There is a broad expectation that upcoming figures will show the US recession eased in the second quarter.
Analysts polled by Bloomberg predict that the Commerce Department data, due out later today (July 31st), will show a 1.5 contract in gross domestic product for the period between April and the end of June.
Commentators polled by the Associated Press also came to the same conclusion, with many anticipating an end to the freefalling contraction witnessed in previous quarters.
Speaking to the news agency, Ken Mayland, an economist at ClearView Economics, said: "The recession kind of came in like a lion and is going out like a lamb."
However, John Silvia, chief economist at Wells Fargo Securities, told Bloomberg: "We've definitely turned the corner but it's going to be a slow, agonising recovery."
Improved global trade, increased federal spending and fewer business cutbacks are all expected to have cushioned the fall, although consumer spending is expected to have suffered further as unemployment and falling property values have dampened spending appetites.ADNFCR-2522-ID-19290506-ADNFCR
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