As the 2022 midterm election results finalize and promising consumer price reports release, optimism is on tap for the trade show industry.
There was global interest in the U.S. midterms, with the general sentiment in Europe being that the results are a positive sign. “The elections confirmed that there is a solid underlying sentiment in favor of continuing strong political and economic ties between the U.S. and Europe, which is extremely important, particularly for any international exhibition business in the U.S.,” Jochen Witt, President and CEO of jwc GmbH, said. “There was definitely concern in Europe that a landslide victory of the Republicans would backslide economic and political ties between both areas. The current election is a positive outcome for our industry and brought an air of relief.”
“It is debatable, of course, but it appeared that particularly on the Republican side there is a strong drive toward more nationalism and severing political and economic ties with Europe, with an example being cutting the support for Ukraine. At least the trends we were following in the last month in that regard have not been confirmed by the electorate, and this is a confirmation that the ties between the U.S. and Europe are and continue to be in good shape,” Witt said.
Of particular interest in the trade show industry, Dallas voters approved a ballot measure increasing the hotel occupancy tax rate from 13% to 15% to help fund a new convention center in downtown along with renovations to six venues in Fair Park. The Dallas Morning News reported that the tax increase is expected to bring in $1.5 billion over 30 years, with the money going toward repaying the bonds that are expected to fund the projects.
Economic Impacts
Following the 2022 midterm elections, the Consumer Price Index for the year ending in October was released, showing a rise of 7.7%, a slower pace of increase than what was expected. Consumer prices only rose by 0.4% in October, which was also less than expected. Bloomberg reported that airline fares have gone down 1.1%, a welcomed decrease for those traveling or planning to travel.
The Index also showed the lowest annual inflation reading since January. After the Index came out showing better numbers than expected, the stock market responded with Dow futures rising by more than 800 points. The technology sector helped to boost the S&P 500 by 4.6% following the report.
Reach Jochen Witt at +49 170 578 1142 or jwitt@jwc.eu.com
