GO
Loading...

Economists See More Reasons for Optimism: NABE

Economists are increasingly confident that key segments of the U.S. economy will improve this year.

The National Association for Business Economics says forecasters have raised their expectations for employment, new home construction and business spending.

But they held on to their average prediction that America's gross domestic product, or GDP, will grow at a rate of 2.4 percent, with stronger growth happening in the second half of the year.

That's a slight improvement from 2011.

NABE economists see the unemployment rate sticking at 8.3 percent this year, matching January figures. That's improved from their November forecast of 8.9 percent.

In housing, economists predict builders will break ground on 700,000 homes this year, up 15 percent compared with 2011. They predict 850,000 will be built in 2013.

Panelists are also still forecasting strong business spending growth this year.

The survey was conducted Jan. 26 to Feb. 8.

Contact Europe News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    To learn more about how we use your information,
    please read our Privacy Policy.
    › Learn More

Europe Video

  • Alexis Tsipras, opposition leader and head of the leftist Syriza party, waves at supporters during a campaign rally in central Athens, Greece, Janu. 22, 2015.

    The left-wing Syriza party has won the elections in Greece, promising an end to the austerity program struck with the Troika. Experts comments on whether the new government can fulfill its promises and what it means for the euro zone.

  • Saudi Arabia's stock market has reopened after the recent passing of King Abdullah. Hadley Gamble reports the latest.

  • With the Greece election results, Steven Englander, global head of G10 FX strategy at Citi discusses how easily the euro currency could fall to parity against the U.S. dollar.