Bull Economy
Summary
Discussion of the potential effects on equity, bond, commodity, capital and asset markets regarding:
Wage gains; labor market momentum; review of the Dec. 2015 employment situation;
Elevated savings; healthy consumer credit; declining oil prices;
Retail sales; wage and jobs gains effect on GDP.
From Martin at Macronomics: "Given the recent US Q3 GDP print at 2% (well below 3.9% growth in Q2) and given the current high level of inventories we highlighted recently in our conversation "Cinderella's golden carriage," it seems to us that US GDP is weaker than expected and is going to be "weaker for longer."
From Bloomberg: "Struggling overseas demand and declines in commodity prices that are hurting investment in energy and agriculture continue to limit orders for American manufacturers. At the same time,robust domestic growth buoyed by labor-market momentum and burgeoning wage gains are supporting consumers' spending power and preventing U.S. factory activity from slowing even more."
Limited orders in manufacturing, yet robust domestic growth are buoyed by labor market momentum and burgeoning wage gains? The inference: if the economy were not so robust, we might be in recession? Begging the question, how can manufacturing be limited and yet the economy, wage gains and spending robust? Is this some robust economy bull?
From SA: "The Fed has been right as rain on jobs, but other indicators - including inflation and manufacturing surveys - paint a significantly weaker picture of the economy."
A more accurate assessment regarding manufacturing, but "the Fed has been right as rain on jobs?" Let's play matador with this robust bull.
This missive was published as an exclusive to Seeking Alpha. To access the ENTIRE text for FREE on Seeking Alpha, please click here. The Nattering One does not receive remuneration if you register, only satisfaction.
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As we are now a "contributor" at Seeking Alpha, our published articles, instablog and comments can be found here. Please continue to follow The Nattering Naybob here and at Seeking Alpha. We thank you for your support.
Discussion of the potential effects on equity, bond, commodity, capital and asset markets regarding:
Wage gains; labor market momentum; review of the Dec. 2015 employment situation;
Elevated savings; healthy consumer credit; declining oil prices;
Retail sales; wage and jobs gains effect on GDP.
From Martin at Macronomics: "Given the recent US Q3 GDP print at 2% (well below 3.9% growth in Q2) and given the current high level of inventories we highlighted recently in our conversation "Cinderella's golden carriage," it seems to us that US GDP is weaker than expected and is going to be "weaker for longer."From Bloomberg: "Struggling overseas demand and declines in commodity prices that are hurting investment in energy and agriculture continue to limit orders for American manufacturers. At the same time,robust domestic growth buoyed by labor-market momentum and burgeoning wage gains are supporting consumers' spending power and preventing U.S. factory activity from slowing even more."
Limited orders in manufacturing, yet robust domestic growth are buoyed by labor market momentum and burgeoning wage gains? The inference: if the economy were not so robust, we might be in recession? Begging the question, how can manufacturing be limited and yet the economy, wage gains and spending robust? Is this some robust economy bull?
From SA: "The Fed has been right as rain on jobs, but other indicators - including inflation and manufacturing surveys - paint a significantly weaker picture of the economy."
A more accurate assessment regarding manufacturing, but "the Fed has been right as rain on jobs?" Let's play matador with this robust bull.
This missive was published as an exclusive to Seeking Alpha. To access the ENTIRE text for FREE on Seeking Alpha, please click here. The Nattering One does not receive remuneration if you register, only satisfaction.
There is no cost involved and it has been our experience that if you exert control (by unchecking a box of two) over your communications settings in your Seeking Alpha profile, your email inbox will not be polluted with one bit of Spam (not even the cured pork shoulder variety. Tasty even.)
As we are now a "contributor" at Seeking Alpha, our published articles, instablog and comments can be found here. Please continue to follow The Nattering Naybob here and at Seeking Alpha. We thank you for your support.
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