U.S. Economy Strengthens: GDP, Jobs Outlooks Improve While Inflation and Interest Rates Expected to Rise Modestly

U.S. economy is stronger than expected; GDP growth forecast upgraded from 1.3% to 2.5% in 2024

Unemployment rate now expected to be just 4.1% by end of 2024, not 4.7% as previously forecast

Inflation forecast increased slightly to 3% in 2024 from 2.8%

Fed now expected to cut rates just twice in 2024 and once in 2025, not 3-6 times as previously expected

S&P 500 target range upgraded from 4,800-5,000 to 5,100-5,300 for 2024