Expect More Slow Economic Growth for Rest of 2015: Morningstar

As we wrap up the first quarter, a look at what we can expect on the economic front for the rest of the year.
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As we wrap up the first quarter, what can we expect on the economic front for the rest of the year? According to Robert Johnson, the Director of Economic Analysis at Morningstar, 'U.S. economic growth is likely to remain lower than many believe, at 2.0% to 2.5%.' On the positive side, Johnson says 'labor tightness is building' and expects the unemployment rate to fall between 5% to 5.5% in 2015. Johnson says 'the labor scarcity issue is finally beginning to turn up in 2015' which is good for the consumer but could spark higher inflation and lower corporate profits. Despite data that shows Americans have been putting away their savings from lower oil prices, Johnson believes the U.S. is far from becoming a nation of savers.