The last quarter of 2021 in the US economy reflects a very large increase in demand for goods from all sectors of the economy, which eventually led to a year in which there was a very accelerated growth of the US economy.
GNP grew in the last quarter of the year by 6.9% and marked a very strong quarterly growth. In fact, on an annualized basis, GDP grew in the last quarter by 1.7%, compared to a growth of 0.6% in the third quarter of the year.
This is the highest growth in this quarter in almost four decades.
These demands were supported by very low central bank interest rates as well as the inflow of massive fiscal budgets by the US administration.
At the end of the year, the US economy grew at an estimated rate of 5.7%, a growth that has not been seen in the US since 1984, when the US economy expanded by 7.2% following a previous recession. 3.4% - the sharpest reduction in 74 years.
In light of these figures, U.S. economists estimate that the central bank will soon raise interest rates in the economy, most likely in March.
At the meeting, Powell said that "the American economy no longer needs strong support in the form of support for monetary policy" and that it will soon be appropriate to raise interest rates in the economy.
Beyond raising interest rates, it seems that the Biden administration, which will cut a coupon for strong growth, will also stop the flow of budgets to the economy and reduce its intervention in the markets following its current recovery and the return of the markets to free and independent activity.
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