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Us Consumer Spending Weakest For A Year

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http://www.telegraph.co.uk/finance/economics/8601503/US-consumer-spending-weakest-for-a-year.html

Spending was flat in May, the Commerce Department said on Monday, and, once adjusted for inflation, showed a decline of 1pc.

Hopes that 2011 would see the US recovery strengthen have so far been dashed as higher gasoline and food prices erode the spending power of millions of Americans.

The Commerce Department also said that average incomes climbed 0.3pc in May, which, alongside the recent decline in gasoline prices, provides some optimism for the second half of the year.

Average prices have dropped just over 10pc since reaching a three-year high of $3.99 at the start of May.

It's the spendingless recovery.

Thank god consumer spending isn't the driving force of the US economy.

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It's the spendingless recovery.

Thank god consumer spending isn't the driving force of the US economy.

I thought blowing people up in far off lands was the American economy? :unsure:

Someone posted yesterday about them spending $20bn on air-con in Afghanistan - brilliant.

One thing is for sure, this recovery is the stuff legends are made of, it requires no jobs, no money being spent, no nothing, it just happened all by itself, as if by magic.

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One thing is for sure, this recovery is the stuff legends are made of, it requires no jobs, no money being spent, no nothing, it just happened all by itself, as if by magic.

This website is the only place I know of where people talk about a recovery. It seems to be just a convenient straw man for HPC to tear down.

Pretty much everyone else just tacitly accepts that there never was a recovery in the first place.

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What about the press?

Global economic recover

Is the press full of articles about how there's been a recovery and everything is alright now?

Not that i'd noticed.

- The press is full of doom and gloom.

- HPC.co.uk is full of doom and gloom predicated on the basis that everyone else is an idiot who thinks that everything is fine

ps- (i get 3x more results if i search for global depression, and almost half as many if search for global moose)

Edited by pilchardthecat

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Is the press full of articles about how there's been a recovery and everything is alright now?

Not that i'd noticed.

- The press is full of doom and gloom.

- HPC.co.uk is full of doom and gloom predicated on the basis that everyone else is an idiot who thinks that everything is fine

ps- (i get 3x more results if i search for global depression, and almost half as many if search for global moose)

The impression I get from watching TV is that the official line is that there is a weak recovery which has to be cemented with low interest rates lest it be choked off.

That POV is pretty consistent across all the big media organisations - No mainstream sources putting forward the view that we've just kicked the can down the line with money printing/debt monetisation and that in fact without these extreme measures, we'd be completely fuxORed.

This 'feels' nothing as bad as previous recessions as all the stops have been pulled out to prevent the train hitting the buffers. Employment is still relatively high and the hardship is coming mainly from peoples' incomes being squeezed by inflation and the need to service large amounts of existing debt without pay increases.

I guess all the utter despair of unemployment etc. is still to come at whatever time the effects of money pumping fail to work any more. That could be quite some way down the line though as there will be at least another big splurge of money printing IMO which should keep things churning for 12-18 months yet. We'll just get a 'boiling the frog' effect until it really kicks off.

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  • 311 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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