Inflation Pressures Could Ease in 2024, But Growth Risks Loom As Households Feel the Pinch
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Inflation could reach 2% target in Q2 2024 due to slowing rents, lower gas/used car prices, tighter financial conditions per ING Economics.
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Progress towards 2% inflation target stalled in Aug/Sep as energy costs rebounded, core inflation still over double at 4.1%.
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Tightened financial conditions, reluctance of banks to lend could slow growth and inflation in 2024.
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Real household disposable income falling, pandemic savings exhausted could lead to GDP contraction in 2024.
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Stocks most affected by inflation include Tractor Supply (TSCO), Beyond Meat (BYND), Whirlpool (WHR), Coinbase (COIN), MetLife (MET).