Economic Data Shows Growth Slowing But Still Barely In Expansion Mode As Virus Impact Felt

March 2, 2020

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Economic Data Shows Growth Slowing But Still Barely In Expansion Mode As Virus Impact Felt — *Image by Phoenix7777*

Economic indicators release today showed a U.S. economy barely growing, just above contraction levels. As the financial markets show extreme volatility trying to price in recent developments in the global economy, the Federal Reserve is trying to decide whether or not to cut interest rates, and if they do, how much and when.

POTUS is putting pressure on the Fed to do just that.

As usual, Jay Powell and the Federal Reserve are slow to act. Germany and others are pumping money into their economies. Other Central Banks are much more aggressive. The U.S. should have, for all of the right reasons, the lowest Rate. We don’t, putting us at a.....
— Donald J. Trump (@realDonaldTrump) March 2, 2020

On the other side of the fence, pressure is being put on the Fed from hawks to not lower rates and therefore prevent asset bubbles.

Let the games begin!

Markit Manufacturing PMI (Feb) printed at 50.7 vs 50.8 consensus estimate.

ISM Manufacturing Employment Index (Feb) printed at 46.9 vs 46.6 estimate.

ISM Manufacturing PMI (Feb) printed at 50.1 vs 50.5 estimate.

ISM Manufacturing Prices Paid (Feb) printed at 45.9 vs 51 estimate.

ISM Manufacturing New Orders Index (Feb) printed at 49.8 estimate.

Construction Spending (MoM) (Jan) printed at 1.8% vs 0.7% estimate.

Author

CDM Staff

The mission at Creative Destruction Media is to be the catalyst for the "process of industrial mutation that incessantly revolutionizes the economic structure from within, incessantly destroying the old one, incessantly creating a new one."