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It dont matter, they can report 4% GDP next Q when its just probably 1.5% in reality as Wall Street will be cheering and Main Street is reeling....it dont matter because Main Streeters aint in this game. They cant afford to. Wall street and Main street dont jive and will never mesh until we become one, when Main Street is fed up with the way our hard working money is being used to support the lifestyles of Wall Street. Its time we stand up for ourselves.
Good comment "main streeters aint in this game" that sums up what Ive been thinking while hoping all collapses for the Wall St a-holes
Government workers and contractors are feeding at the trough though and loving it.
Main Street taxpayers have been ignored throughout.
"Main Street" doesn't pay much in taxes either. The top 1% pays more than the bottom 97% combined. The top 1% ain't main street and main street is not filling the trough.
So, if I take all that, put into my blender, push the button and then pour it into a Margarita glass, what shall we call it?
"Ass in a Glass" has a good ring to it, wouldn't you say?
It's called Operation Enduring Bubble!
if anyone thinks that interest rates are set by fomc or fed funds discount rate he needs to put the kool aid down....interest rates are arbitrary and managed through interest rates swaps which is why the tbtf banks will NEVER under any circumstance fail....those banks are proxies for the fed's interest rate policy through their massive derivatives book....
gdp? gdp shmeedeepee....take out stimulus, take out inventory and you have a flat quarter....sorry folks, and especially larry krudblow, there is no recovery....any downward revision in gdp would put it within sampling error and thus make the quarter's numbers entirely meaningless....
Unemployment continues to rise.
Foreclosures continue to increase.
Benefits are about to end.
Incomes are declining.
Stores and malls are closing,
*** WTF IS GROWING? AND HOW? ***
Where is the upside?
I don't get it. Growth based on what? 3.5% more of what and in what time frame?
They count stimulus spending (going into debt) as 'growth'. Also, lots of companies laid off hordes of employees in the run up to summer as they look ahead to a slim autumn/winter, so they appear to 'add to the growth': Their increased profits--most likely to be saved to serve as an airbag when they hit the Christmas tree--provide a convenient mirage of growth when you don't look deep in the numbers. Look at personal income: Down. Look at disposable income: Way down.
Look at the government debt/spending: Way, way up. Put this sort of 'data' together with BLS 'data' and you have a nice comfy way of obfuscating job losses while trumpeting imaginary growth.
Umm, someone's nose?
Not so complicated. Just take a look at the four main components of the GDP.GDP = C + I + G + (X ? M).
Is it consumer spending? N-o-o-o.
Investment in capital? Don't thiiiiink soooo.
[skipping for effect] Exports minus imports? Not enough to move the whole GDP 3.5% up.
Government spending? We have a winner!
So the government is celebrating how much money it borrowed and then spent on one-time bad ideas.
Government Growth ONLY ....
Change you can believe in !
No, no benefits will never end. In the brave new world of Obama and the Democrats unemployment benefits will never end but there won't be any jobs.
FROM THE ECONOMIST INTELLIGENCE UNIT
US third-quarter GDP data are uplifting--the economy has now emerged from its deep recession. Consumers are spending again and fixed investment-which has taken a pounding this year-started to rise. Export performance was perky but the boost to headline GDP was dampened by a greater rise in imports. Although the latest results are encouraging, they may not be sustained unless the government introduces further stimulus measures. Because the government cannot go on spending indefinitely, the economy is forecast to grow faster in 2010 than it will in 2011.
Advance data from the Bureau of Economic Analysis released on October 29th show that the economy grew by 0.9% quarter on quarter in the July-September period, after shrinking in each of the four quarters preceding that. It also notched up an annualised growth rate of 3.5%, after four consecutive quarters of decline.
US consumers appear to be starting to loosen their purse strings, demonstrating the might of the government's US$787bn fiscal stimulus and the shot in the arm to motor vehicle sales provided by the cash-for-clunkers scheme (which ran for a month until its US$3bn budget allocation was exhausted in the final week of August). The 3.4% annualised increase in personal consumption expenditure seen in the third quarter--which added a hefty 2.4 percentage points to growth--was stronger than had been anticipated. Nevertheless, this is unlikely to prove sustainable without further fiscal or monetary stimulus. Certainly, households’ financial condition remains fragile. Wages and salaries remain stagnant and credit is still hard to come by. The rate of unemployment reached a 26-year high of 9.7% in August, and home foreclosures remained at a near-record level.
The performance in terms of investment also improved, as fixed investment rose by 2.3% in the third quarter. However, this is hardly impressive given the sharp falls seen over preceding quarters. Fixed investment could hardly have fallen much further given the rate of decline seen in the eight preceding quarters--investment had plummeted by 20.2% in the fourth quarter of 2008, followed by a startling 39% drop in the first quarter of 2009 and a further 12.5% in the second.
Chinese demand may have helped exports of goods and services post a healthy 14.7% expansion in the third quarter (they contracted in each of the four preceding quarters). With world trade forecast to grow by 3.7% in 2010 and 4.6% in 2011 (after contracting by an estimated 9.4% in 2009), prospects for the export sector are certainly improving (albeit gradually). Nevertheless, the gains from the external sector were dampened as the US sucked in more imports in the third quarter--they rose by 16.4%, the first increase since the third quarter of 2007.
More help to come?
Congress is mulling over whether to dip into its pocket to offer a new round of stimulus measures. Plans currently under discussion include extending and expanding an US$8,000 tax credit for first-time homebuyers, an extension of unemployment insurance benefits, and help for small businesses. The Obama administration unveiled a two-part programme on October 19th to help home buyers and tenants. The scheme supports state and local housing agencies through bond purchases and liquidity support. And under the extended unemployment insurance benefits now being considered by the Senate, coverage would be available for several more months, with special provisions in states where the unemployment rate is higher than 8.5%.
The Economist Intelligence Unit still expects that the economy will contract by 2.4% this year, reflecting the depths of decline in previous quarters. We believe that the economy will grow by around 2.5% in 2010 thanks to the highly stimulative macroeconomic policy and an end of destocking. However, growth will decelerate to 1.3% in 2011 as the effects of the fiscal stimulus fade and against a background of continued private-sector balance-sheet rebuilding and the Fed's switch to monetary policy tightening. The risk of a W-shaped recovery, with a renewed flirting with recession, is high.
Stop posting columns, asshat. This is a comment board. Anyone with a browser can find all the fucking columns he wants without dipshits like you reposting them. You remind me of a dog who has to piss everywhere.
Hey you what his your problem anonymous jeck. The difference between me and you. I'm posting something good and you are posting stupidity comment like yours. Just for your information. Viewswire his a paying site from The Economist.
john williams reports 92% of gdp growth was from non-recurring factors....
so since the cnbc pom pom girls love using operating earnings which exclude non-recurring results as the golden standard, i wonder if they will apply the same standard to gdp....i think i know the answer don't we larry....
Channel surfing I saw a banner on CNBS'
"stimulus to remember"
Oh I think we'll all remember...
That's what my ex said the first time I used Viagra. Never could manage a repeat performance. Thus the ex. :>)
When this/any stimulus finally stops working, imagine the smoking heap of a dog shit economy that will be left.
We have become numb to the insanity of it all.
Wait, what did I miss? The growth of the economy is based on who buys cars and homes? Are you fucking kidding me? Both are dead-end markets. They're over.
Out here in the middle, absolutely nobody believes anything that media or the government tells us. We aren't getting vaccinated against swine flu and we sure as hell don't believe their economic numbers. We just need to look around town to see what's really going on. Wall Street and Washington may be fooling themselves, but they aren't fooling anyone else.
even as Goldman engineered a perfect bear trap with their surprise revision lower...
even as Goldman engineered a perfect bear trap with their surprise revision lower...
Indeed. I generally find it hard to swallow vast conspiracy theories, but I find no other plausible explanation for this. There is no doubt that GS' downward "revision" caused a pants shitting in financials ahead of what ended up being a hot number today. Assuming they scooped up alot of those turds, they now have the chance to fling them.
Yeah, I bet this gets revised downward. For one, where did all the retail sales come from? Was Q2 that bad? Are we talking about an increase or a reduction of a reduction? The car is stuck in second gear so floorboard it and get on the autobaun.
GDP Garbage Department Pimps-----
Small business assets shrinking at 1.4 million$ clip per minute
Corporate assets falling at 500k a minute-----where is the GDP????
Household assets increasing---now stands at 55 trill 800 bill---man people have a lot of junk or its from MAGICAL market wealth creation
Savings rate is at $2,600 per person---I knew we could do it.
This is what happens when you allow a whole bunch of Keynesian economists to decide our country's financial future. Keynesian economics=crackpot economics. Any stimulation or taking on of debt is condiered growth! What an f-ing joke!
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