Factory Output Tumbles In March - This Has Never Happened Outside Of Recession

Tyler Durden's picture

US Industrial Production peaked in November 2014 and remains down almost 2% from those record highs (despite surging stocks).

 

This has never happened without the US economy being in recession in history.

 

While Industrial production headlines met expectations, factory output for March plunged 0.4% - the biggest drop since Feb 2015.

 

Still who needs 'production' when we have Snapchat and Netflix!??

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NugginFuts's picture

SNAP, TSLA, and NFLX will fix everything! Buy now or be priced out forever!

BTFD my nizzles! 

FreeShitter's picture

You beat me to it...who needs any of this nonsense when we all can buy stawks at ATH?

JRobby's picture

Because it is a continuing depression. 9 years marked by slight upticks from QE.

Personally, I love the wide shots of the gigantic lots of unsold vehicles. It's a visual for those that don't like numbers much.

SMG's picture

We've been in a recession/depression since 2000.  They've just been covering it up by under-reporting inflation.  Sad thing is, it's still going to get worse from here.

JRobby's picture

Much worse.

You make a good point SMG because much of the growth from 2000 to 2007 was debt financed (um it's home equity Robby (aka, Ripped Chunk) No it isn't when you borrow on it)

Forecast: Insurrection

floomby's picture

Even discounting debt financing there are other indicators that things have not been good since 2000. Maybe it is the low interest rate environment, maybe it is the explosion of regulations under Bush Jr and Obama, maybe it is entitlement growth and lack of savings, maybe it is demographic problems... Whatever it is there has been an obvious drag on the economy since 2000. Seen in charts like wage growth, manufacturing employment, corporate investment, consumer debt, andgovernment debt (even if you think austerity is bad for the economy such a growth in government debt is an indicator of weakness in the private sector).

jialins's picture

Smg, smart guy. i thought no one figured this out. Exactly, inflation is the biggest, gigantic, monumental lie, or to be specific i am referring to the cpi

I Would avoid 1000 word thesis to elaborate but basically cpi or pce is grossly underestimating the depreciation of purchasing power and currency (ie the true cost of living) by blatantly excluding or downweighting cost of housing/rent, schooling, traveling, and many other service related costs. A pays B $50 and B pays A $50 we have an 100 gdp. Now they pay each other $100 and we have $200 nominal gdp and $180 in real terms(claimed).

Wait, my real income almost doubled why i am getting the same amount of apple? If so, what is the purpose?

Hint: for currency, fx and even evil reasons, goes to the core of capitalism

wren's picture

We keep printing, giving that currency to banks and government workers, then pay interest to banks based on the 20 trillion we've borrowed, while they charge us interest on money we've borrowed, which doesn't actually exist, we simply export any inflation we'd feel by buying foreign. We should be in a recession, but as long as foreigners can be convinced that our toilet paper is worth something then recession will be delayed and exacerbated.

new game's picture

just part on the crumble. suddenly some day(lol), the uuuuuge chunk of ice falls into the sea of life and the shtf.

remain calm, no biggly stuff...

GUS100CORRINA's picture

All the lies are coming home to roost BIGTIME!!

FAKE ECONOMIC DATA generated by FAKE EARNINGS created by FAKE LEADERS aired on FAKE NEWS outlets.

=======

Below is the TRUTH about the economy presented by SHADOWSTATS.COM

The latest from John Williams’ www.shadowstats.com

No. 880 : March CPI, PPI, Retail Sales, Real Earnings, Consumer Update

April 15th, 2017

– Substantially Adverse Economic Circumstances Have Begun to Unfold, Threatening FOMC Hopes for Normalizing Monetary Policy

– Amidst Mounting Income and Credit Stresses on Consumers, Headline Retail Sales Suffered Major, Near-Term Downside Revisions; Recent Auto Sales Were Not As Strong as Advertised

– First-Quarter Real Average Weekly Earnings Declined Year-to-Year, Along with Back-to-Back Quarterly Contractions, Circumstances Not Seen Since the Stalled GDP of Second-Half 2012

– Real Growth in Consumer Credit Outstanding Has Faltered in a Manner Also Not Seen Since the Stalled GDP of Second-Half 2012

– Headline CPI-U Inflation Fell by 0.29% (-0.29%) in March, Pushing Annual CPI-U Inflation Lower to 2.38% (Was 2.74%), with CPI-W at 2.35% (Was 2.82%) and ShadowStats at 10.1% (was 10.5%)

– March Final-Demand PPI Annual Inflation Hit a 60-Month High of 2.28%

Oldwood's picture

And yet....it still continues. Believing the lies is all that sustains this economy. Truth will set us free, but to what ends? No one wants the truth anymore as the delusion and corruption pay so much better.

Xscream's picture

In my area dealers are renting lot space at nearby shopping centers to store cars

Just Another Vietnam Vet's picture

Don't Forget Fake Book.  

They might have to make phone calls, send emails, and use multiple sources for info.   

CRM114's picture

Tractor production is amazing Comrade! One comes out the door every 5 minutes!

Yes, and we now employ 14 more people - to push it back round the outside of the plant so the Inspector can count it again!

small axe's picture

and boot production is through the roof! Oceania doesn't stand a chance!

wchild's picture

Virtual shitstorm everywhere you look...

Philo Beddoe's picture

Yet, the market fails to collapse. No pont fucking worrying about the consequences any longer. When she blows she blows. 

JRobby's picture

Plunge Protection Team !!!

I woke up's picture

There was a time where I thought I'd gloat to the people that gave me shit about my investments.  After time has passed I decided to keep quiet when this blows because people are going to have blood in their eyes.

Philo Beddoe's picture

I fucked myself by overthinking this market. I should have been naive like some of buddies and just road the wave. Nope, the market was overvalued at SP 1500 I told myself. Now, I just watch...not going short or long...just don't fucking care anymore about these markets. 

Winston Churchill's picture

Dr. Yellen, the operation was a great success.

Q. How is the patient doing ?

Dy; The mortician has worked his magic.He looks fine.

Sky flyer's picture

Keep the bullish fucking headlines a comin'. All we need now is a "worse since Lehman" story to get us to all time highs.

corporatewhore's picture

Best line heard so far this week:  "Can I use my EBT card to buy my wedding cake?"

stormsailor's picture

thats just silly,  everyone knows you never get married, it screws up all your government checks.

Ricki13th's picture

Who needs an economy and actual production when you can gamble at Wall street and win big everyday. Just BTFD!

asteroids's picture

The stawk market is not the economy. I repeat that to myself over and over and over.

Snaffew's picture

must be good news as markets are close to green

CHoward's picture

Recessions are so old school.  We (the U.S.) don't do recessions any more.  Get with it, please!

Common_Cents22's picture

my labor and materials have gone up 20% and I cannot pass on a price increase to customers, govt tightening its grip with regulation and fraudbamacare.   It's a huge vice squeezing everyone!

Snaffew's picture

Yellen standing on a podium exposing her ragged snatch..."Read my Lips!  We will not let these markets Falter!  ((Pweeeff))

Marley's picture

So, hamburger assembly is down.  Got it.

Ink Pusher's picture

Get the narrative  straight ;' The USA is in Denial Of Recession' ,not in an actually defined and accepted recession.

It's been this way for a decade, you'd think someone would have accepted it by now.

Xscream's picture

also need way overpriced cell phones and plans

Iconoclast's picture

MOMOs riding the FOMO express; last chance, hop on or forever lose out, next stop Tesla City at $1000 bucks per share.

Bear's picture

"This Has Never Happened Outside Of Recession"

Well, yah, we are in a recession ... DC lies can't admit it