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Preliminary US GDP was out overnight and was poor as expected at just 0.2% for the quarter. Here are the components from Zero Hedge:
Consumption and inventories up, net exports, government and private investment down. The concern is private investment, here’s the breakdown from Calculated Risk:
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The big drag is non-residential construction and that is bad for two reasons. First it leads employment and second it’s not weather related, it’s oil the bust pulling down all manner of construction.
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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific's leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
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