The July personal income and outlays report shows a 0.3% increase in consumer spending. When adjusted for inflation, consumer spending rose 0.2%. Personal income increased 0.4% while real disposable income also increased 0.4% for the month. This is moderate growth. Wages also seem to be finally picking up.
The reaction of the ruling elite and their minions in official conservadom to the Donald Trump surge is best characterized as a hissy fit, an extended temper tantrum that the GOP base isn’t doing what they want them to. The elite and their gatekeepers can’t seem to figure out why Trump is surging and why the peons who support him won’t listen to their betters. What is more puzzling is why they didn’t see this coming and why it hasn’t happen sooner. The writing has been on the wall for a while.
Q2 GDP has been significantly revised upward from 2.3% to 3.7%. Investment was dramatically revised upward as was spending by state and local governments. Consumer spending was a healthy 57.2% of real GDP. Also surprising was a lack of upward revisions in imports. Regardless, that is a 1.37 percentage point GDP revision, a 59% change from the advance report.
The Durable Goods, advance report shows new orders shot up by 2.0% in July. June showed a whopping 4.1% new orders increase. Core capital goods, showed a 2.2% monthly gain. Without transportation new orders, which includes aircraft, durable goods new orders would have increased by 0.6%. Motor vehicles & parts new orders gained 4.0% for the month.
Are we witnessing the corruption of central banks? Are we observing the money-creating powers of central banks being used to drive up prices in the stock market for the benefit of the mega-rich?
I believe that Jeb Bush’s campaign is dead in the water. His polling trajectory does not bode well for him. He is perceived as a moderate in general and is wrong on some issues in particular that are important to the GOP base, such as immigration and Common Core, but his bigger problem is that he simply doesn’t inspire enthusiasm in anyone. People who support someone other than Bush generally don’t hate Bush, they just don’t want him to be the nominee. And therein lies the rub. People don’t hate Bush, but they don’t love him either.
US crude oil output fell this past week, but our oil imports were the highest since early April, and with a major refinery idled, that unexpectedly led to the largest increase in our inventories of oil in storage in 4 months, precipitating yet a further crash in the price of oil.
According to Pew Research, this year the Millennial generation (ages 18 to 34 in 2015) is projected to surpass the Baby Boom generation (ages 51 to 69) as the nation’s largest living generation — with 75.3 million Millennials vs. 74.9 million Boomers. The Gen X population (ages 35 to 50 in 2015) is also projected to outnumber the Boomers by 2028. Where will Social Security be for them when they retire?
The Consumer Price Index increased 0.1% for July, which is very mild. This is in spite of a 0.9% increase in gasoline prices. Energy overall only increased 0.1%. Inflation without food or energy prices considered increased 0.1% for the month even with a 0.4% shelter cost increase. From a year ago overall inflation has increased 0.2%, which is very low.
Coined by political scientist Samuel P. Huntington, the term Davos Man was meant to refer to members of the global elite who view themselves as completely international. They have no need for the term "nationality" and feel that governments are merely shadows of time past to be used as facilitators in their global operations. ~ Akash Arasu
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