RECESSION LOOMS: GDP REVISED DOWN TO 1.3%, DURABLE GOODS COLLAPSE 13%
Our 2nd quarter GDP has just been revised downward from an already anemic 1.7% to a shockingly weak 1.3%. Moreover, orders for durable goods went — as Hot Air’s Ed Morrissey points out – ”over a cliff,” collapsing a full 13%. Morrissey also reports that this is the single largest decrease in over four years and that a subsequent increase in inventories this [...]
THE ASSOCIATED PRESS
NEW YORK — The Dow Jones industrial average on Tuesday closed at its highest level in more than four years.
The fastest growth in U.S. manufacturing in 10 months gave stocks a lift Tuesday. Orders, hiring and production all rose in April.
The Dow added 66 points to 13,279, its highest close since Dec. 28, 2007.
Read more: http://www.gazette.com/articles/hits-137854-late-mark.html#ixzz1tjIYUIT6
WASHINGTON — New orders for U.S. factory goods in March recorded their biggest [...]
So much for a moderate decline in the economy. As we warned back in February when we noted that the non-seasonally unadjusted collapse in durable goods was historic, now that the aftereffect of a record warm winter is fully gone, the March durable goods data comes in and it was a complete disaster: instead of dropping modestly by 1.7% as the consensus expected, the March actual print was a massive [...]
by Joe Weisenthal, BI
The present and future of jobs in America: Healthcare.
The industry added 315K new jobs in 2011 according to the just-released December jobs report.
No other industry added that many. The closest was leisure/hospitality, which added 230K.
Here’s the full section on industry-breakdown form the BLS.
Employment in transportation and warehousing rose sharply in December (+50,000).
Almost all of the gain occurred in the couriers and messengers industry (+42,000);
seasonal hiring was particularly strong in [...]
So much for ending the year on a positive economic tone: today’s November durable goods number, while better than expected on a headline basis including volatile transportation data coming at 3.8% on expectations of 2.2%, was a big disappointment when looking at the core economic indicators such as Durables ex-transportation and non-defense capital goods orders ex-transportation, both of which missed, 0.3 vs 0.4% in the former case, and a whopping 11st [...]
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Here’s the chicken-or-egg riddle regarding our lost economic decade: Did it result from malinvestment — the real estate bubble — or too little productive investment?
The question is key because the answer has implications for crafting a suitable economic remedy.
Those on the left who think the U.S. is suffering from a straightforward, if severe, post-bubble collapse in demand see demand-side stimulus as the logical response.
But many [...]
Data dump from today’s two economic releases:
• US GDP (Annualised) Q/Q (Q1 T) 1.9% vs. Exp. 1.9% (Prev. 1.8%)
• US GDP Price Index Q/Q (Q1 T) 2.0% vs. Exp. 1.9% (Prev. 1.9%)
• US Personal Consumption Q/Q (Q1 T) 2.2% vs. Exp. 2.2% (Prev. 2.2%)
• US PCE Core Q/Q (Q1 T) 1.6% vs. Exp. 1.4% (Prev. 1.4%)
• US Durable Goods Orders (May) M/M 1.9% vs. Exp. 1.5% (Prev. -3.6% Rev. [...]