Revised GDP <1% for 2016. FED talks about rate increases??

[anatta]

No wonder Hillary doesn't want to talk about the economy. ‎

We got revised GDP numbers from the Commerce Department on Friday and the economy actually did slightly WORSE than originally estimated. Growth was 1.1 percent in the second quarter of this year and less than 1 percent for the first six months of 2016. The business sector of the economy has sunk recession territory. Profits are srinking (down 2.4 percent last quarter) so how long can the stock market rise?

The consumer is keeping the economy out of negative territory, but that's only because we are spending more than we are earning.

How long can that go on? About as long as the housing bubble could inflate without bursting.

For years the polls have shown that Americans are hyper-concerned about the economy and job security. That was when the economy was growing at a meek 2 percent. Now at 1 percent, we aren't just treading water, more families are being plunged underwater.

This is some recovery. Under Reagan we had growth rates quarterly of 5, 6 and even 7 percent. Economists in the '80s worried about overheating. Too much growth. Now growth is nowhere to be seen - except for those at the very top of the income ladder.


Hillary says that what the economy really needs now is a tax increase. Crazy. ‎A new study by the National Center for Policy Analysis says that Hillary's economic plan will eventually shave 1 percent off GDP. That would technically sink the economy down to zero growth.

Oh and there was more wonderful news this past week. The deficit is now climbing again to an estimated $600 billion this year. The red ink is headed back to $1 trillion on current course. Some states are facing 20 percent or more rise in Obamacare premiums this year.

The Financial Times reports that we are still 1 million manufacturing jobs short of where we were in 2007.

So much for morning in America.

Trump must hammer Hillary and Obama on these abysmal economic developments. What is needed? ‎Tax cuts. Deregulation. American energy production. Repeal of Obamacare. He should talk about little else if he wants to win.

The appeal of Hillary's "four more years" agenda is in mortal peril given the flimsiness of the economy. We are moving in the wrong direction. Two of three voters have been saying this for years. ‎ The burger flipper economy has flattened wages as Census Bureau data tells us.

Could it get worse? Here's ‎how economist David Tuerck described Hillary's jobs plan in his NCPA study: ‎"What we have here is a plan to destroy hundreds of thousands of private sector jobs just to pad government payrolls while, in the process, doing almost nothing to improve tax fairness."

The one percent growth economy is the new normal thanks to liberal governance. With Hillary's tax and spend agenda, a 2017 recession could be on the way.
http://www.foxnews.com/opinion/2016/...t-economy.html

[canceled.2021.1]

You are racist.

This economy is on fire

[Legion Troll]

You think manufacturing jobs are coming back?

[anatta]

Yellen Says Fed Rate Hikes Will Be Gradual

The dollar extended losses after Federal Reserve Chair Janet Yellen said the central bank will take a gradual approach to raising interest rates.
The greenback fell versus most major peers as Yellen said policy makers’ plan for a modest path to higher rates is based on expectations for moderate growth in real gross domestic product, additional strengthening in the labor market, and inflation rising to 2 percent over the next few years. In a speech in Jackson Hole, Wyoming, she also said the case to raise rates is getting stronger as the U.S. economy approaches the central bank’s goals

Investors’ sentiment has oscillated in recent weeks on the pace of Fed monetary tightening after it raised borrowing costs in December for the first time since June 2006. The dollar’s 5 percent loss this year reflects a dimming outlook for the U.S. central bank to reduce stimulus and diverge from unprecedented easing in Europe and Asia.

Bloomberg’s Dollar Spot Index, which tracks the currency against 10 peers, dropped 0.5 percent as of 10:29 a.m. in New York.

“If the market draws the conclusion that the Fed is merely upping the odds of a rate hike or two to ‘get it over with’ and nothing else, there is little U.S. dollar impact on the idea of being one- or two- and done,” John Hardy, head of foreign-exchange strategy at Saxo Bank A/S in Hellerup, Denmark, said via e-mail.

While the minutes from the Federal Reserve’s July meeting showed divisions within the rate-setting committee, New York Fed President William Dudley and San Francisco Fed President John Williams have signaled that a hike may be coming by year-end. Fed Bank of Kansas City President Esther George said inflation gains call for a near-term rate increase.
http://www.bloomberg.com/news/articl...adual-isbup926

[Leonthecat]

You think manufacturing jobs are coming back?

They believe coal mines will reopen.
They may believe anything.

[Legion Troll]

Telemarketers are as gullible as the people they fleece.

[cawacko]

How long can they keep rates this low? Money isn't free. Inflation will hit at some point

[Legion Troll]

How long can they keep rates this low? Money isn't free. Inflation will hit at some point

How long have you been saying that?

[anatta]

How long can they keep rates this low? Money isn't free. Inflation will hit at some point

that's what the concern is..but to my knowledge there aren't any inflationary pressures now.
FED look for an "increase this year" ( read after the election)..

The problem as I see it is there is extreme lack of growth ( revised down to 1.1% 2nd quarter) -which isn' a recession
but could easily slip into one with too much taxes/interests rates

[tsuke]

How long can they keep rates this low? Money isn't free. Inflation will hit at some point

last time they increased the rate by 0.5% all of our credit cards (capital one) went up by 0.5% as well. This is the one of the problems. Anytime they raise their rates since most of the cards are variable interest they go up too.

[Legion Troll]

So you work for Crapital One, alt right ban boy cuck?

[cawacko]

last time they increased the rate by 0.5% all of our credit cards (capital one) went up by 0.5% as well. This is the one of the problems. Anytime they raise their rates since most of the cards are variable interest they go up too.

That's what happens. You can't have cheap "free" money forever

[cawacko]

So we've had this historically poor recovery and the Fed has essentially used everything in their aresonal with QE and near zero rates that they have nothing left. Yet the candidates aren't talking about why the private sector is struggling for growth. Trump keeps harping on trade deals and Hillary says we need even more gov't stimulus. It's a joke.

[anatta]

So we've had this historically poor recovery and the Fed has essentially used everything in their aresonal with QE and near zero rates that they have nothing left. Yet the candidates aren't talking about why the private sector is struggling for growth. Trump keeps harping on trade deals and Hillary says we need even more gov't stimulus. It's a joke.

what do think is the reason for crappy GDP growth?

[cawacko]

what do think is the reason for crappy GDP growth?

I think a large part is due to the additional regulations that have been placed on the private sector that is inhibiting growth. (And before someone jumps in, as they inevitably will, and claim I want zero regulations, that is not what I'm saying and please don't come with that straw man.)

Entrepreneurship, new businesses, is actually down in this country and that's where a majority of our growth comes from. Small banks are getting punished by Frank-Dodd and as such are lending less. Small businesses get most of their loans from smaller banks so you where this is going. Between the regulations Sarbenes-Oxley and Frank-Dodd have put on the private sector it's not surprising we are seeing less companies go public, especially these unicorns.

America's private sector is the greatest growth engine in the world. There is a definite need for government here as they have to set the rules and enforce them but it's not gov't that's creating the jobs and leading economic growth. We need to unleash our greatest economic weapon, not suffocate it as we are now.