December 11, 2020

The LJE quarterly forecast has a dual purpose. One is to produce a forecast that accurately captures the economic environment we foresee for the coming quarter. The second objective is to dress up the forecast with a parsimonious and coherent description of the foreseen economic environment. Our forecast calls for an inflation rate below the 2% target range and a solid recovery over a year from now. We look for a short-term acceleration of the economic activity and then to decelerate and approach its long-term real GDP growth rate. If our forecast about the pace of economic activity during the coming four quarters is correct, 2021 should be a good and healthy year. The forecast calls for a solid double-digit earnings growth during 2021.

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