Posted on 09/27/2012 8:02:25 AM PDT by Qbert
A series of new economic figures this morning cast fresh gloom on the health of the U.S. economy.
The economy grew much less than expected in the second quarter, new Labor Department estimates show. Second quarter GDP was revised lower to 1.3% from an earlier 1.7%. (Economists believed that GDP would be revised lower to 1.6%.) Declining consumer spending and business investment combined to weigh mightily on economic activity.
More troubling still is what this suggests about the third quarter. Little has surfaced to point to a pick-up, meaning that it’s unlikely the economy will grow much more than before. In short, today’s data sends “a notable red flag for U.S. growth,” says Action Economics‘ Michael Englund.
U.S. economic growth turned even more anemic after the first quarter, when GDP grew by 2%. Manufacturing, a key driver of the economy earlier in the recession, has cooled, the result of an uncertain U.S. political outlook and slowed global demand.
Caterpillar, the world’s largest maker of mining and construction equipment, earlier this week said next year would likely be little better than 2012 and slashed profit forecasts for 2015...
[Snip]
What’s more, durable goods orders, a measure of factory activity, plunged last month in the largest drop in more than three years, data released by the Commerce Department this morning shows. Orders fell 13.9%. The last time that factories slowed this much: January 2009, when the economy was in the depths of the recession.
This data point also stymied economists, who predicted that orders would fall 5%.
Transportation equipment saw demand fall the most...[Snip]
Boeing‘s troubles neatly underscores the current situation. Boeing, the largest U.S. aircraft maker, received only a single order in August, down from 260 a month earlier.
“The latest durable goods report was bloodied by aircraft orders...
(Excerpt) Read more at forbes.com ...
and the stock market is up on this good news
It seems the stock market rises in response to bad news because the Fed responds to bad news by printing more money.
Good news OTOH makes the markets fall, because that lessens the impulse for the Fed to print more money.
Good is bad and bad is good, get it? Newspeak!
Debbie Wasserman-Shultz
June 15, 2011
“This indicates more welfare is needed to stimulate the economy.”
Pelosi
just imagine how low the GDP would be,
if it wasn’t artificially inflated,
by Obama borrowing a trillion a year,
to increase Government spending,
from historical 19% to 25%...
Because they see this twit getting the boot, and want to get in early on the real recovery.
Also, whatever number we have here, I can bet you that it will be revised downward to what it REALLY is.
Need another DBM story on how a majority believe Obama will do a better job with the economy than Romney.
(Just don’t ask them how)
Why is it so difficult to understand that the US economy began to be hollowed out over 30 years ago? The 90s tech bubble, followed by the 00s real estate bubble, were merely diversions to cover the rot.
The Fed.gov & Fed have been desperately trying to blow a new bubble, anywhere, in order to keep the game afoot. Obummer is just the clown the status quo needs in order to put a public face on the sheep.
Got that right! “What’s more, durable goods orders, a measure of factory activity, plunged last month in the largest drop in more than three years, data released by the Commerce Department this morning shows. Orders fell 13.9%. The last time that factories slowed this much: January 2009, when the economy was in the depths of the recession.
This data point also stymied economists, who predicted that orders would fall 5%.”
Now..........that’s a disaster in the making!
I’m convinced that Americans in the Voting Booth with think:
“Do I want more of this?”
They’ll feel like cr*p, and vote “NO”.
I therefore predict Romney in a landslide.
No matter what polls say, this country sucks, feels like sh*t and everyone knows it. It’s horrible everywhere. There are lots of teat suckers out there, but (to mix metaphors) many of them have enough of a recognition that the golden goose that lays their welfare checks is dying.
Correct.
You vastly over estimate the mental capacity of the American people. The majority can’t think more than 1 day in advance. They will vote Zero in to keep the wealfare checks coming.
‘’All of Oceania erupted in spontaneous celebration of the over-fullment of the Four Year Plan! And it is all made possible by Big Brother himself!’’
??? Thirty years ago Paul Volker had strapped up interest rates and broken the back of inflation. Reagan had negotiated with a 'Rat Congress to pass tax cuts linked to spending cuts. The 'Rats lied of course, and stabbed the President in the back re: spending cuts, but the economy turned around and flourished regardless. Not sure what you mean by "hollowed out."
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