US managers tentatively bullish on recovery

market ANALYSIS

While some concerns remain about debt and job creation, managers in the US are generally upbeat about the prospects for the economy in the coming year

Recent economic indicators imply the US market is rebounding at an astounding rate but economists are tempering enthusiasm by pointing out significant concerns remain as to whether it is sustainable. In the bulls' corner, inflation is under control, monetary policy is unlikely to tighten until mid-2004, consumers are spending, capex is rising, manufacturing growth is at a 20-year high and GDP has outpaced expectations. The bears are focusing on increased consumer and government debt and the lack of improvement in job creation. Young Chin, global chief investment officer at Gartmore, is f...