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<p class = "web-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "" This is an economy based on consumption, "Jack Ablin, chief investment officer of Cresset Capital Management, told Yahoo Finance & nbsp;YFi AM. "Two-thirds of our growth comes from household spending. The good news is that the job market is excellent and households have money to spend. Oil prices are low, interest rates are low. Overall, we are well enough prepared to continue spending. You have seen the GDP of the last quarter, which corresponds to a growth of more than 3% in household spending. Although, of course, companies take the time to breathe and try to wait to see what happens, it does have an impact. But I do not think that's enough to offset the growth in consumption we're seeing right now. "" Data-reactid = "16"> "It's a consumption-based economy," Jack Ablin, investment director at Cresset Capital Management "Two-thirds of our growth comes from household spending." The good news is that the labor market is excellent and households have money to spend, oil prices are low, interest rates are low, you have seen the GDP of the last quarter, which is corresponds to a growth in household spending of more than 3%, even though, of course, the business sector is running out of steam and trying to wait to see what happens, it will have an impact, but I do not think this is enough to offset the growth in consumption we are currently seeing. "
<p class = "web-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Ablin's comments echo the Trump administration optimism The White House economic adviser, Larry Kudlow, said Sunday at NBC, Meet The Press, that & nbsp;he does not see a recession& nbsp; on the horizon and claiming that "despite worries over stock market volatility, most Wall Street economists have marked their forecasts for the end of the week for their third and fourth quarter forecasts." "data-reactid =" 17 "> Ablin's comments echo Trump administration's optimism." White House economic adviser Larry Kudlow told NBC's Meet The Sunday chain on Sunday. Press that he did not see a recession on the horizon and that "despite many concerns about volatility." Stock market, most Wall Street economists towards the end of the week corrected their forecasts for the third and fourth quarters. "
<p class = "canvas-atom web-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "President Trump tweeted about the ongoing trade war this weekend declaring that the United States "are doing very well with China and are arguing." However, Bloomberg is & nbsp;report& nbsp; President Trump told reporters Sunday that he was not quite ready to sign a trade deal. "data-reactid =" 18 "> President Trump tweeted about the ongoing trade war this weekend, saying that the US" is doing very well with China "and talking." However, Bloomberg reports that the President Trump told reporters Sunday that he was not quite ready to sign a trade deal.
We are doing very well with China and are discussing!
– Donald J. Trump (@realDonaldTrump) August 18, 2019
"I think obviously the White House was aware of the potential impact of tariffs on consumers, especially with regard to the Christmas sale," Ablin said. "I think the idea of backtracking makes sense. It is interesting to note that President Trump may have recognized that consumers pay these tariffs, not just China as such. So, they want to keep this consumer. They want households to have cash. I think this is enough to allow us to live a reasonable 2019 Christmas sales season. "
However, this does not mean that the US economy has the green light.
"What concerns me, though, is the next 12 months, when this 7%, 8% and 9% earnings growth will be generated if companies really expect something to happen," said Ablan. "I do not see any trade agreement – a meaningful trade deal will be presented before the elections. And that will put a lot of pressure on President Trump and the rest of the White House. "
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Chelsea Lombardo is production assistant for Yahoo Finance. You can find more of his work right here."data-reactid =" 24 ">Chelsea Lombardo is production assistant for Yahoo Finance. You can find more of his work right here.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Read the latest financial and commercial news from Yahoo Finance"data-reactid =" 25 ">Read the latest financial and commercial news from Yahoo Finance
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