Economy rebounds in 2Q, mostly spurred by exports (Doomers saddened)

Yahoo ^ | Thursday August 28 | Jeannine Aversa

[Sam's Army]

The sky didn't fall after all, but I guess some will hold on to hoping it will.

[Tennessean4Bush]

This is an outright lie. Everything is awful. Take this thread down now!

[Thickman]

This report is part of a conspiracy by the Bush Administration to deceive the American electorate. We all know how bad things are because we have seen Obama bin Biden’s commercials replete with sad case people who need the government to help them because pubbies are evil and don’t care about them.

[jveritas]

Excellent news.

[cake_crumb]

"Imports, meanwhile, fell at a 7.6 percent annualized pace in the spring, as economic troubles in the U.S. crimped demand for foreign-made goods."

Oh REALLY? And Americans not wanting to buy toxic Chinese products had NOTHING TO DO WITH IT, eh?

[RobRoy]

Bull trap.

I am VERY interested in the 4th quarter. Three things:

1. Home sellers see their home sit unsold throughout the selling season into the flat 4th quarter, still unsold. My question about those that HAD TO sell - Now what?
2. For Retail, the 4th quarter is EVERYTHING. The home equity ATM is shut off. How will that affect the biggest retail season of the year. And this is the first one since Joe Public realized that things may be bad.
3. This one is a stretch - when Obama loses, lots of rioting.

I compare the controversy over just how bad things are to a debate about how leaky the roof is. The fourth quarter is the rainy season. We will find out then who was right.

[expat_panama]

an outright lie. Everything is awful.

Absolutely, everyone knows that the economy Clinton made for us was much better than the one we got now.  Why else would Clinton be asked to talk about it in Denver?

[Sam's Army]

"We will find out then who was right."

The one who panics the most is usually right.

Or maybe not...

[Question Liberal Authority]

America exports stuff? Who knew?

[Canedawg]

(Doomers saddened)

You’d think they would be, IF they actually stuck to facts.

But the reinforcement this week of their reckless disregard for truth makes this inapplicable to their deluded perspectives.

[rightinthemiddle]

Jeannine Aversa is a Democrat hack. She spins every article:

“A growing number of analysts fear that the country will hit another economic pothole in the fourth quarter, as the bracing impact of the tax rebates disappears.”

[Tex Pete]

That’s UNpossible! Obama says we’re in a recession, and he never lies!

[Notary Sojac]

(1) Housing prices in many areas still need to drop until they are in line with the fundamentals of income and rents.

(2) Banks and investment houses that have bought questionable mortgage paper need to come clean, write off the bad stuff, and solve their problems without a government bailout.

I hope that the fair-to-good trend reflected in the cited economic report will work against any ill-advised attempts to keep (1) and (2) from happening.

[1rudeboy]

America exports stuff? Who knew?

You need to be careful to distinguish sarcasm. There are people here who actually believe we don't.

[RobRoy]

We’re on the same page here. I strongly expect WAMU to go under, BTW.

[RobRoy]

>>The one who panics the most is usually right.

Or maybe not...<<

I mean who was right in the prediction. What do you mean?

[NVDave]

There are people here who not only know we export stuff, but that exports are what are propping up the headline GDP number.

If it weren’t for exports, the slowdown would be more apparent. As it is, you must read down into the body of the GDP report.

http://www.bea.gov/newsreleases/national/gdp/2008/pdf/gdp208p.pdf

The net:net story therein is that a) exports are smokin’ hot, and b) domestic investment in capital assets, property build-outs, etc isn’t doing well at all.

Two things stand out as I read the details:

1. People are suddenly saving. Look at the figures for personal saving. Big jump upwards.

2. Look at import consumption. People and companies are feeling the effect of the weak dollar and a lack of corresponding increase in the number of dollars in their pocket, so they’re spending a lot less on imports.

One other thing to NB: shrink in inventories. Businesses appear to be getting ready for a downturn, so they’re selling off inventory, which jibes with the decrease in domestic investment.

[ichabod1]

Still, the growth pickup is not likely to be seen as a lasting sign that the fragile economy is back on solid ground.

[ConservativeMind]

But the MSM has said, so many times, that we were already in a recession!

Say it ain’t so!!

[Freedom_Is_Not_Free]

I am finding it futile to post new articles here or to respond on these threads. Those who know the systemic challenges to the economy, know them, and more posting is preaching to the choir. Those who want to see the world through rose colored glasses can't be swayed despite any evidence to the contrary. Everybody just believes what they want to believe. I've arrived at the conclusion that it is pointless to try to educate anybody here. Pointless.

That said, I'm too stupid not to respond to these posts, so I succumb to temptation more than I should.

The choir will nod and FreepyAnnas will cry "lies", but I'll leave you with this proclamation by Goldman Sachs's Jan Hatzius...

"Just like GDP -- preliminary revisions for Q2 was released earlier today -- and like retail sales, we see inadequate accounting for inflation that creates the illusion of growth.

"We are a nation that is beyond denial -- we are kidding ourselves. If we don't start dealing with reality, it will be our undoing."

Let me repeat that... we see inadequate accounting for inflation that creates the illusion of growth.

Now, did I convince a single FreepyAnna? Like I said... It is pointless...