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The Conference Board Economics Watch® United States View

The US economy has continued to gather strength. GDP is projected to have grown by 4.2 percent in the second quarter and by 3.1 percent in both 2018 and 2019. So long as the labor market continues creating jobs at a rapid pace and measures of business and consumer confidence remain elevated, the economy can remain in a high gear. However, trade tensions with China, the EU, and NAFTA zone countries are rising. While the current narrow trade conflict is like to have modest short-term effects, a broader conflict could lead to delayed investment and higher inflation rates, possibly weakening and shortening the current economic expansion.

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