This week, I’m talking about the 2021 Stock Market and economy Outlook.

Today, I’m covering the economic outlook for 2021. 

On a recent work trip to Boise. My 1 hour flight home from Boise to Portland had 16 people on a Monday evening flight. 16 people! 

Then when I arrived at pdx, I saw a sight I had never seen before. One lane open at the security checkpoint and NO ONE going through the line. PDX is a bustling airport that is busy all the time, especially during the holiday season. Now here I was, less than 2 weeks before Christmas, the airport was a ghost town. It was stunning. 

It’s a clear sign of the pandemic, and also a sign of some lingering and perhaps permanent changes to the economy. Reduced air travel - particularly for business travelers, who have found other creative ways of seeing clients and conducting business virtually. 

History often behaves in this way - like a big bang effect - where a sudden and unexpected event permanently changes an entire industry, an entire economy, and the entire world. And so the airline business may forever be altered.

In other industries too, there will be some dark clouds lingering and some permanent changes. Hotels and restaurants and small retail shops will likely struggle for years - many will have permanently closed. Many job losses experienced in the pandemic are permanent. 

But there are reasons to expect that the overall economy will thrive in 2021. 

After President Trump signed the $900 billion stimulus bill at the end of December, Goldman Sachs forecasts 2021 GDP growth at 5% in the first 3 months of 2021. The economy will likely jump in the first 3 months of the year as stimulus checks arrive and consumers and businesses start spending the funds. 

As vaccinations roll out in 2021 and things begin to return to normal - people begin to travel again, eat out more at restaurants and go back to work, the economic growth is likely to continue. 

And all of this makes sense...the economy was doing well at the outset of the coronavirus pandemic, so once the main cause for the sharp recession has passed, then it seems likely that growth will continue.

Thanks for listening. My name is Ashley Micciche and this is the One Minute Retirement Tip.

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Check out our blog: https://truenorthretirementadvisors.com/blog/

----------

Tags: retirement, investing, money, finance, finances, financial planning, retirement planning, saving money, personal finance, wealth management, money tips, fee only financial advisor, financial planner, financial podcast, retirement podcast, financial independence podcast