PHILADELPHIA (KYW Newsradio) — There is always a lot to process when it comes to the U.S. economy.
Jobs, interest rates and housing information — consumers have to take stock when trying to evaluate the economic picture.
But currently, Villanova University professor and economist David Fiorenza likes what he sees.
“If we had to give it a grade between an ‘A’ and an ‘F,’ I would give it a ‘B,’” he said. “I’m being probably brutal on this. It could even be a ‘B+’ with a lot of the numbers I’m seeing.”
The unemployment rate continues to sit low. It dropped to 3.5% earlier this month, and inflation seems to be calming down after a crazy year.
That significant rise in inflation led to the Federal Reserve raising rates significantly, where they currently stand at 4.75% to 5%.
Given the economic data we are seeing now, Fiorenza expects the Federal Reserve to pull back going forward.
“I think you’re going to see the Fed pull back and just do one more [rate hike], maybe in May or June, and that’s it,” he estimated.
As far as how much that rate hike will be, he guesses about a quarter-point.
Listen to the full conversation in the player below: