Second-quarter GDP jumps 4.1% for best pace in nearly four years

Decent for 1 quarter.

Gross domestic product increased 4.1 percent in the second quarter, matching Reuters estimates.

Strong consumer and business spending as well as a surge in exports ahead of retaliatory tariffs from China helped drive economic growth.

The last time the economy grew this quickly was in the third quarter of 2014.

What about the wage growth though? What are consumers spending?? Credit??

"We're on track to hit the highest annual growth rate in over 13 years," President Donald Trump said in remarks an hour after the report hit. "And I will say this right now and I will say it strongly, as the deals come in one by one, we're going to go a lot higher than these numbers, and these are great numbers."

Right.

Record Consumer Debt

Of this, $2.858 trillion was non-revolving debt, and it rose 6.2 percent. Most of non-revolving debt is education and auto loans. In March 2018, school debt totaled $1.521 trillion and auto loans were $1.118 trillion.

Credit card debt totaled $1.039 trillion, rising 11.4 percent. It exceeded the record of $1.02 trillion set in 2008. But credit card debt is only 26.7 percent of total debt. It was 38 percent in 2008.

The GDP is great, but how much of the GDP incorporates the stock buy backs??

Stock Buy Backs

The economy is "looking" very good but when analyzing the economy we need to look at it from a larger perspective. Debt is high and savings are low. That's bad.

Unless we see REAL wage growth and consumer debt go down we are still in dangerous territory.

Edit: I'm not knocking all the numbers, this is good overall and SHOULD lead to wage growth, but it needs to be substantial in order for the average American to feel like they did prior to 2008.

a reply to: toysforadults

I'm assuming this is good news, in that case I'm glad that the Obama era policy changes are finally having their desired effect on the economy.

Unless this is a bad thing, then it's just another example of trumps incompetence and another step towards his inevitable destruction of our economy.

a reply to: MisterSpock

Lol. You sound confused. Vote blue.

Well Trumps policies are clearly not working.

IMPEACH HIM!

a reply to: neo96

Lol.

It's cause Obama durr.

a reply to: toysforadults

So??? Trump is stupid and ugly...I want Hillary...

originally posted by: toysforadults
a reply to: neo96

Lol.

It's cause Obama durr.

Its no better or worse then Obama so far. We have had 4 and 5% growth before Trump in the quarterly reports. Question is will this be sustainable with tariffs, tax changes, interest rate hikes, ect, and is this just an artifact of people stockpiling before a possible trade war and interest rate hikes.

Its hard to call it a victory yet.

a reply to: Pyle

It needs to be a trend first but it won't be unless people have money in their pockets. Average people not the top 10%.

Good, informative thread. Thanks. SnF

a reply to: toysforadults
people would have money in their pockets if they stopped spending it on electronics that are outdated before they leave the store, expensive designer clothes and shoes, and hanging out with their hipster friends at bars racking up their credit cards with alcohol consumption four nights a week.

a reply to: toysforadults

Jack Posobiec❌
Jack Posobiec❌
@JackPosobiec
·
58m
#Breaking Judge in Hawaii rules economic growth must cease until it returns to acceptable levels

a reply to: toysforadults

FAKE NEWS!


GDP will never go above 3%, 5% unemployment is the new normal.

The Obama-era economists said so.

a reply to: DBCowboy

You really need to start looking deeper than what you just post to really get any info.

originally posted by: toysforadults
a reply to: DBCowboy

You really need to start looking deeper than what you just post to really get any info.

I actually spent this morning reading reports and stories from the White House, Washington Post, NPR (to be precise) about the new normal in US economic growth. Of course it was from 2011 to 2015, but my point is, never believe anything, because everyone is a god-damned liar.

a reply to: DBCowboy

Trump:

"During each of two previous administrations, we averaged just over 1.8 percent GDP growth. By contrast, we are now on track to hit an average GDP annual growth of over 3 percent, and it could be substantially over 3 percent," Trump said. "Each point, by the way, means approximately $3 trillion and 10 million jobs."

Lord help the Left if he gets the GDP up to China Levels...........

a reply to: DBCowboy

that's actually my point, no one is telling the truth

a reply to: pavil

hopefully he's not using government spending to spur growth like China, before you know it the call for jobs will be wastefully building ghost cities across the globe with resources we can't afford to use just to keep people busy during the day

a reply to: toysforadults

We do need a smart comprehensive infrastructure Bill passed. Maybe we can rebuild the inner cities of many of our major urban cities instead of ghost cities.

originally posted by: pavil
a reply to: toysforadults

We do need a smart comprehensive infrastructure Bill passed. Maybe we can rebuild the inner cities of many of our major urban cities instead of ghost cities.

Been done.

Didn't Obama pass some sort of 900 billion bill for the infrastructure.

We're solid there.

Plus he did quantitative easement for infrastructure.

So we're golden there!

originally posted by: DBCowboy

originally posted by: pavil
a reply to: toysforadults

We do need a smart comprehensive infrastructure Bill passed. Maybe we can rebuild the inner cities of many of our major urban cities instead of ghost cities.

Been done.

Didn't Obama pass some sort of 900 billion bill for the infrastructure.

We're solid there.

Plus he did quantitative easement for infrastructure.

So we're golden there!

Yes, my roads and energy grid are top knotch. The roads even come with built in pockets for my tires to rest in. Very convenient.

Thats why I said smart and comprehensive.

That money was spent almost as good as the cash for clunkers program.