Economic Reports Indicate Economy Entering Crash Mode – Dave Kranzler
TheNewsDoctors.com
Wed, Apr 15th, 2015
Weaker-than-expected headline data in the next week should push consensus expectations meaningfully towards an outright quarter-to-quarter contraction for the April 29th initial estimate of first-quarter 2015 GDP growth. Once all revisions are in place, that first-quarter GDP contraction should be the deepest since the economic collapse from 2007 into 2009, and it would raise serious market concerns for a subsequent, second-quarter GDP downturn (release on July 30th) and formal recognition of a “new” recession. – John Williams,Shadowstats.com, April 10, 2015
TND Guest Contributor: Dave Kranzler
Although the retail sales report for March showed a small bounce from February, it missed consensus estimates by a country mile. The sales report was boosted by a jump in auto sale in March. Based on various reports, it sounds like the U.S. Government used taxpayer money to boost their purchases of cars from GM and likely Ford, in order to keep union workers employed.
And, as a matter of fact, the GM sales report for March directly states that “Government sales were up 19% and rental deliveries were down 6%” (link). So there you have it. GM’s sales year over year for March were down 2%. It might have been a disaster if the Government hadn’t stepped in with your money to buy up bulging factory inventory.
Speaking of inventories, the business inventory to sales ratio is starting to mirror the stock market and the dollar and go parabolic:
The Rest…HERE
