US: Why the enthusiasm?

Retail sales are surging, with Retail & Food (ex-Motor Vehicles) growing above 5% a year for the first time since 2012.

Retail & Food Sales

Light vehicles sales are back at their 2000-2006 norm of 17.5 million units a year, reflecting consumer confidence.

Light Vehicle Sales

Housing remains soft but growth in new starts and building permits continues.

Housing

Durable goods orders are also soft but unlikely to remain so if retail sales growth continues.

Durable Goods Orders

Inflationary pressures are likely to rise. Which is why the Fed expects to increase the pace of interest rate hikes in 2017.