Second quarter even stronger than it first looked: GDP raised to 4.2% from 4.1%

[The Purge]

Thanks to TRUMPONOMICS.....WONDER HOW THE OBOMANATION WILL TRY TO CLAIM THIS?

The numbers: The bustling U.S. economy was even stronger in the spring than initially reported thanks to higher government spending and business investment. And companies cashed in big time.

Gross domestic product expanded at a 4.2% annual pace in the second quarter, up from a preliminary estimate of 4.1%, the government said. GDP is the official measuring stick for the U.S. economy.

Economists polled by MarketWatch had forecast GDP to be left unchanged at 4.1%.

The strong growth, along with the biggest tax cuts in 31 years, helped fill corporate coffers.

Adjusted corporate profits before taxes climb 3.3% in second quarter and they were up a sizzling 7.7% over past year. That’s the biggest 12-month gain in four years.

What happened: Consumer spending will still quite strong in the second quarter, though a bit less so than previously believed. The government said outlays rose 3.8% instead of 4%.

(Excerpt) Read more at marketwatch.com ...

 

[MarathonMike]

So much for all the snarky Lefties predicting the GDP number would be revised way down. LOL. It must get frustrating for them to be wrong about everything.

 

[william the wie]

So much for all the snarky Lefties predicting the GDP number would be revised way down. LOL. It must get frustrating for them to be wrong about everything.

the 3rd qtr ends in two days and predictions will hit the news:
In regards to US growth/(-)global growth we are already either in the 8-10% range or on the imaginary numbers line. The Fed is likely to get twitchy with either answer since we ain't been in that territory before no matter which is right.

The US economy turning into a full-bore chaotical system will cause extreme discomfort. Being the overheated little engine that could will also cause the same response. My money is on the Fed doing something idiotic and then reverse without a rear view mirror.

 

[CrusaderFrank]

Thanks to TRUMPONOMICS.....WONDER HOW THE OBOMANATION WILL TRY TO CLAIM THIS?

The numbers: The bustling U.S. economy was even stronger in the spring than initially reported thanks to higher government spending and business investment. And companies cashed in big time.

Gross domestic product expanded at a 4.2% annual pace in the second quarter, up from a preliminary estimate of 4.1%, the government said. GDP is the official measuring stick for the U.S. economy.

Economists polled by MarketWatch had forecast GDP to be left unchanged at 4.1%.

The strong growth, along with the biggest tax cuts in 31 years, helped fill corporate coffers.

Adjusted corporate profits before taxes climb 3.3% in second quarter and they were up a sizzling 7.7% over past year. That’s the biggest 12-month gain in four years.

What happened: Consumer spending will still quite strong in the second quarter, though a bit less so than previously believed. The government said outlays rose 3.8% instead of 4%.

(Excerpt) Read more at marketwatch.com ...

Armageddon!!!

 

[saveliberty]

If you give Trump credit for the first two quarters you will have to do the same for the third. My guess is tariffs and the threat of tariffs will drop GDP to near 3% or less. The economy may have overheated without the break, so it is not all negative.

 

[william the wie]

If you give Trump credit for the first two quarters you will have to do the same for the third. My guess is tariffs and the threat of tariffs will drop GDP to near 3% or less. The economy may have overheated without the break, so it is not all negative.

I generally agree with you but get some of Brian Arthur's books. His works about increasing returns are used in every form of high tech to make economic predictions but not in macro-economics like the Fed uses. The Fed and other central banks use models that are way out of date. We are potentially in much bigger trouble than you realize. The Fed models cannot predict the 2nd qtr results even after the fact.

 

[Weatherman2020]

I’m so old I remember when the Trump tax cut was going to murder millions.