US | Green shoots of recovery emerge with vaccine rollout
The next stage of the US travel recovery has commenced. After a challenging fall and winter, signals are turning positive. Travel activity picked up in March, with spring break leisure travel a key contributor, and forward-looking booking activity has quickened, with gains in hotel bookings and air travel. The improvement represents the first substantive gains since the easing of lockdown protocols last year (May/June 2020).
What you will learn:
- Travel sentiment has been steadily increasing in lockstep with the expansion of the vaccine rollout.
- Improving health conditions, expanding vaccine distribution, and generous fiscal stimulus together support the trajectory of economic recovery, with our outlook for GDP growth in 2021 recently raised to 7%.
- Our current outlook is for travel spending in the US to recover to just 20% below 2019 levels this year.
Tags:
Related Services
Post
Bank of Japan resumes rate normalisation, cautiously
The Bank of Japan raised the policy rate by 0.25ppts to 0.5% at Friday's meeting, as we expected. We maintain our call that the central bank will hike the rate again to 0.75%, most likely in July after the outcome of the Spring Wage Negotiation is confirmed, especially for small firms.
Find Out More
Post
Tariffs won’t cause a burst in producer prices in the Eurozone
Potential US tariffs would be disruptive for the eurozone economy as a whole, but we think their inflationary impact is likely to be contained. As US imports account for around 10% of total extra-EU imports, we estimate a 10% across-the-board tariff would only increase the producers prices index by 0.5%.
Find Out More