The Conference Board Economics Watch^® United States View

Financial market turmoil reflects nervous investors who are worried about when the Federal Reserve might hike short-term interest rates and worries about the health of global economy. If prolonged, financial market turmoil could sap some strength from the pace of US economic growth. Moreover, low and falling bond yields elsewhere are anchoring the more important long-end of the yield curve. Still, economic growth in the third quarter continued at a reasonable pace, estimated at about 2.8 percent (annualized). In short, the signals of moderate strength from the labor, housing, consumer, and even industrial sectors are a counterbalance to investor anxiety in the financial market. For now.