Q2 GDP In Trouble As Business Inventories Tumble In April

Tyler Durden's picture

Adding further pain to Q2 GDP hope, April Business Inventories tumbled 0.2% MoM in April (following Wholesale Inventories decline). This is the biggest drop since November 2015.

  • Manufacturers inventories rose 0.1% m/m in April after rising 0.2% prior month
  • Wholesalers inventories fell 0.5% m/m in April after rising 0.1% prior month
  • Retailers inventories fell 0.2% m/m in April after rising 0.2% prior month

The November spike in inventories is now long gone...

 

Inventories-to-Sales stagnated in April but remain in a recession-signalling mode...

 

Not a good sign for Q2 GDP.

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Bam_Man's picture

Higher interest rates should help.

LOL...

wmbz's picture

Absolutly! Now that the e-con-o-me is on solid ground, raise away, should not be a problem at all.

Jack sez...Growth is on par with their well desgined plan.

I am Jobe's picture

Time to get more new series on Netflix so that sheeples can be distracted . They already are and say everything is lovely and peachy

Peacefulwarrior's picture

I heard Iron Fist and Luke Cage will be enforcing bail in haircuts in the upcoming episodes.

Loco-Motives's picture

should be an interesting afternoon, listening to the latest drivel from Herr Yellen.

lester1's picture

Looks like we're in a recession.

 

We've had 43 million Americans on food stamps since 2009. So if the economy was "growing" shouldn't that number be going down ??

 

Winston Churchill's picture

its a redepression, somewhere between a recession and a depression.

All down hill from here.

Snaffew's picture

time to buy stocks...the CB's will ramp the shit out of the markets to instill "consumer confidence"....nothing tells a feel good economic story like a bubblicious stawk mocket.

Peacefulwarrior's picture

Decision is now binary. Continue CB economic distortion or build Noah's Ark.

Winston Churchill's picture

Yellen will not be wearing a toolbelt,so it the suicide vest.

Snaffew's picture

that would be priceless if she yelled "Jihad!" and squeezed the trigger button on televised CNBC.

Snaffew's picture

there should be more room on the ark---humans have killed off many of the big species of animals.  More room for entitlement recipients!

Zorba's idea's picture

Much of our economy is on wheels. Modern business logistics have refined JIT (just-in-time) inventory replenishment. Perhaps a statistic for how much inventory is in transit (limbo) would give further insight as to how weak our economy is.