unexpected
This will probably be spun as good news by the MSM as it was not as bad as dire predictions, but people need to note that we need 2.5% growth just to keep unemployment from falling.
As expected (since it was talked down yesterday).
Mods, the FR clock looks to be about 7 minutes off.
And, that 1.6 “growth” can be attributed to the economy being held up artificially through government overspending. The true state of the economy, without the artificial “growth”, is very likely still in recession, perhaps in deep recession.
Better than consensus.
Next up this morning: Consumer sentiment and Bernanke speaks at the Fed Bank meeting In Jackson Hole, WY.
The last time he spoke, DOWN went the markets.
Hang on everybody!
Let me guess - this was “unexpected”???
NY Times:
Economic statistics released Friday offered the clearest sign yet that the recovery, already acknowledged to be sauntering, had slowed to a crawl.
The government lowered its estimate of economic growth in the second quarter to an annual rate of 1.6 percent, after originally reporting last month that growth in the three-month period was 2.4 percent.
The revision is a significant slowdown from the annual rate of 3.7 percent in the first quarter and 5 percent in the last three months of 2009.
They low-balled the expectations and now we’re supposed to greet a 1.6% GDP growth rate as fabulous news. Forgive me if I don’t pop a champagne cork. Absent deficit spending, there is no GDP growth at all.
Given that the Fed and Govenment have been almost 10% of GDP for the last 2 years or better. The real GDP is Negative not positive.
Given that the Fed and Govenment have been almost 10% of GDP for the last 2 years or better. The real GDP is Negative not positive.
As such, now is the time to seriously look at MASSIVELY overhauling the economy-sapping income tax system. We should use the Steve Forbes flat tax plan as a base for an overhaul that will:
1) Cut compliance costs to less than half the US$304 billion per year we're spending now.
2) Encourage Americans to save and invest in the USA by ending the tax on bank account interest, capital gains and dividend stock payments.
If Bernanke were to suggest such a change the stock market would zoom through the roof in no time flat.
It’s all a lie...put out 1.4, then say 1.6 when the knew all along. Of course this is better than expected. LIE LIE LIE...someone pull a picture of Joe Wilson.
Anyone who thought there was a “recovery” going on was nuts. What you see is what you get. All that said, hanging in tidily here in NW NJ. Ridin’ out the storm.
(in before "unexpected")
“U.S. Stocks Rise as Economic Growth Tops Estimates; 3Par Jumps”
That means that it actually is going to be down by at least 10%. Kinda like the 5 year plans under the old Soviet Union.
You can expect them not to expect.