The economic outlook for both imports and exports for North America worsened in November, reports Hackett Associates LLC in their latest Global Trade Pulse report.
Although Hackett’s Import Trade Pulse decreased by 6.1 points to 112.3, that still means a 0.9-point year-on-year gain, the report noted. However, the Export Trade Pulse slid to a 1.5-point year-on-year decrease.
The West Coast increased its share of imports by 2 percent versus October at the expense of both the East and Gulf Coast ports and increased its exports by 1 percent, the report stated.
The report stated that the global economy is in a “financial crisis of doubt” which is impacting economic growth.
The question is “whether this is just a short-term panic that is driving the economic fundamentals into the red or are we headed for a recession similar to 2001,” the report stated. “Our view is that the collapse of confidence in the markets is causing the global consumers to put their money into savings rather than spending it.”
Gone are the days of “heady consumerism,” which is being replaced with a more cautious spending approach, the report said.
“The economy can go either into recession or a mild recovery but we should forget about strong growth.”
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