Skip to comments.Markets Rise, Bolstered by Weaker G.D.P. Data
Posted on 06/26/2013 11:09:26 AM PDT by John W
Stocks advanced for a second straight day on Wednesday as a broad measure of economic growth was revised down, easing investors concerns that the Federal Reserve would begin to withdraw its stimulus early.
In afternoon trading the Standard & Poors 500-stock index and the Dow Jones industrial average were both 1 percent higher, and the Nasdaq composite was 0.9 percent higher.
The Commerce Department reported that United States economic growth was more tepid than previously estimated in the first quarter, held back by a moderate pace of consumer spending, weak business investment and declining exports. The report provided reassurance to investors fearful that the Fed is about to give up on its stimulus.
The effect of the GDP report is that despite all the rhetoric and fear about tapering, this will keep the Fed firmly planted in stimulus, which is a positive for the market, said Michael Mullaney, chief investment officer at Fiduciary Trust Co. in Boston.
(Excerpt) Read more at nytimes.com ...
The spice must flow.
Amazing. No matter what develops economically, its always great news.
Bad news is good news!
The new norm in an 0bama 0conomy...
Summer of Recovery continues.
4th in a row lol
In other news, we have reached a peace agreement with Eastasia and declared war on Eurasia.
Carry on, comrades.
Like the addict thinking that losing his job is great news, as his Mom will now let him back in the basement.
GDP 1st qtr revised down from 2.4% to 1.8%. That’s a big drop, but then the first numbers are always fake because they’re the ones that make the headlines.
The first couple of points of GDP is all hedonically indexed vapor. Gross computational units, adjustments for “quality”, owners equivalent rent, free checking accounts, etc. Take out that imaginary fluff and it’s a recession.
Like when the CO said we aren’t outnumbered, just look at as a target rich environment.
LOL. Bad news is good news.
This crowd would be right at home in that environment: