U.S. GDP grows a scant 0.2% in first quarter

[mystery-ak]

http://www.marketwatch.com/story/us-gdp-grows-a-scant-02-in-first-quarter-2015-04-29?link=MW_home_latest_news

   

By
Jeffry
Bartash
Reporter

WASHINGTON (MarketWatch) - The U.S. grew at a meager 0.2% annual pace in the first three months of 2015, a period marked by severe weather, a major port dispute and a soaring dollar that curbed American exports. Consumer spending, the main engine of growth, slowed sharply to 1.9%, below the average 2.3% increase since the recovery began in mid-2009. Business investment in "structures" such as mining shafts and wells sank 23.1% in the first quarter, reflecting lower spending by U.S. energy companies seeking to cope with suddenly cheap oil. Other companies also cut back on investment amid a surge in the dollar that's made U.S. goods and services more expensive to sell outside the nation's borders. Exports tumbled 7.2% while imports edged up 1.8%. A bigger trade deficit subtracts from GDP. Spending on new home construction, meanwhile, rose a scant 1.3% as severe weather hampered builders. The value of inventories, which adds to GDP, increased by a surprisingly large $110.3 billion, the Commerce Department said. Inflation as measured by the PCE price index fell at a 2% annual pace, though the core rate that excludes food and energy rose at 0.9% clip.

[Oceander]

Don't worry, the facts will be revised upward, soon enough.  Obama will make the economy grow the same way Il Duce made the trains run on time - by executive fiat.

[jmyrlefuller]

Don't worry, the facts will be revised upward, soon enough.  Obama will make the economy grow the same way Il Duce made the trains run on time - by executive fiat.

Eventually the whole thing will implode—and it'll be just in time for the next election, just like 2000 and 2008. I'm seeing signs of it already.