American Turkic Business Council along with South Asian Chamber of Commerce hosted the first Chai Exchange of the Year On May 15, 2022. Business professionals gathered at the Turquoise Center for Chai Exchange
Panelists include Jesse Thompson: a senior business economist at the Houston Branch of the Federal Reserve Bank of Dallas, Adil Mackwani: president at M&A Wealth, and James D. Wrubel: CEO of Pan Asian Chemicals spoke on the topic of rising inflation costs and what it means for the Houston market.
Our panelists start off by explaining our current economic situation as well as risks to be on the lookout for. As far as job growth and GDP go, rates will likely decrease. Although Houston has not yet completely recovered from pandemic losses, the local economy is expanding, and we are confident as to what pros this year will bring us with the high oil prices which will ultimately result in a higher number of local goods-producing jobs. We are, however, at risk of inflation, labor demand exceeding the labor supply, geopolitics, and other supply-side constraints. Ultimately, the energy sector of Houston may in fact boost local growth this year above the national pace due to rising prices and demand. It is also expected that the oil market will tighten this year. In Houston specifically, job growth is higher in trade and transportation than in other job fields. Additionally, we’ve seen house prices increase significantly due to inflation.
Overall, GDP, inflation, and job occupations are slow but above the trend growth for the time being. It is also predicted that manufacturing will come back to the U.S. once supply chains open back up. However, the labor costs are currently an issue and outweigh the opportunities this may bring us. Furthermore, the impact of the Russian invasion on Ukraine is unpredictable as of now. We hope we can overcome the economic losses the pandemic has brought us and come out more successful.