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| Step 1. Review the Economic Analysis
(Show detailed report)
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| 1.
Importance
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Very important
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The North American Economies, consisting of the United States, Canada, Mexico and the other Central American countries, are important when considering your investment decisions, because they drive the world's economy. It is the consumer spending of people in North America that drives economic growth.
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| 2.
Wisdom
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Important
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It is wise to consider the health of the North American economies when considering your investments. If consumer spending is increasing, the North American economy will likely do well. If consumer spending is descreasing, the North American economy will find it difficult to do well.
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| 3.
Knowledge
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Important
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If the North American economy is growing more than 1.5% a year, that is a very good signal and a great opportunity to own stocks. If the North American economy is growing between 0.5% and 1.5% a year, it is more prudent to hold more cash or bonds. If the North American economy is growing less than 0.5% or is shrinking (negative growth), it is more prudent to have the majority of your holdings in cash or bonds.
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| 4.
Current Assessment
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Fair
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The current assessment of the North American economy is good. There is moderate growth of 0.85% from last year. Inflation has been low, and unemployment is moderate. The average interest rates across the various countries is moderate and not likely to rise.
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| 5.
Future Assessment
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Fair
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Step 2. Consider the Future Assessment Probabilities, Reasons and Explanations |
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| Possible Outcome
| Probability
| Value
| Reasons and Explanations
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