President Trump’s budget estimates over $2 trillion in savings will result under the ambitious 3% economic growth assumed in the proposal. The budget, to be released today, assumes savings of $2.1 trillion under what the White House calls the effects of economic feedback or growth. The administration forecasts the deficit will widen by $3.15 trillion over a decade.
IHS Markit said its manufacturing Purchasing Managers Index fell to 52.5 in May down from April’s 52.8, for an eight-month low. Readings above 50 means more executives believe business conditions are getting better instead of worse. Markit said its U.S. services index rose to a four-month high of 54 from 53.1. The service side of the economy employs four of every five American workers in fields such as banking, retail, and medical care. Aside from the slightdip in manufacturing, the U.S. economy appears to have regained momentum in the second quarter after a slow start to 2017. Economists predict U.S. growth will speed up to 3% annually in the spring from a 0.7% pace in the first quarter.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
