If an economist selectively ignores components when they go against their view, do they also ignore them when they support their view. Auto sales added significantly to the number this time. What were people saying when auto sales decreased the GDP last quarter ? That the consumer was tapped out and this was a leading indicator ! What does it mean now.
While we may disagree whether the glass is half full or half empty, can we at least agree that it is at 50% capacity.
GDP was a bit higher than expected, but not great. Housing trimmed it significantly since the beginning of the year. Roubini will eventually be right about a recession, it’s just that his timing may be off by a month, 6 months, a year or 2 years. After all, he is an economist. After it happens he’ll explain why.
