Americans are finally having more babies.
After low-single-digit birth declines during the recession years, America finally saw growth in births stabilise in 2012 and 2013.
Then, the rate finally turned positive in 2014 — and it doesn’t look like it was a fluke.
“Euromonitor estimates the total number of annual births to increase by an average of 0.6% per year over the next six years,” according to BAML’s Lorraine Hutchinson — even as parents increasingly are having children at later stages in life.
BAML analysts partially attribute this trend to the 20-39 year old population (aka the age when many parents nowadays have children).
“An increase in the average age of new mums is a headwind that should be more than offset by the combined benefits of an improving environment for the US consumer and above average growth in the core parental age group (ages 20-39) in the US over the next three to five years, similar to that of the late 1990’s to 2009,” Hutchinson said.
From the business angle, more babies probably translates to good news for baby-related industries, according to BAML. Companies include Carter’s and Children’s Place.
After all, if there are more babies in America, that means there are that many more babies that need to be dressed.
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