The Chickens Are Coming Home to Roost for Angela Merkel While the USA’s Economy is Well On Its Way

I had predicted that Germany, France and Canada were heading for a major recession that will last for years. My initial prediction was sometime in the middle of 2019. I want to apologize for that prediction when it comes to Germany.

Reality this morning paints a totally different picture for Angela Merkel and her beloved country. Many said that the 3rd Quarter real GDP rate which was -0.2% was just a blip and that the automobile manufactures would have it back to a positive percentage come the 4th Quarter.

NOT SO FAST according to the data recently released from Germany.

From the article linked above:

JP Morgan has now voiced its alarm over Germany’s economy.

J.P.Morgan economist Greg Fuzesi fears that the economy may not have grown in the last quarter, following its small contraction over the summer.

Fuzesi told clients:

The very bad run is continuing and it is now possible that German gross domestic product (GDP) stagnated in the fourth quarter of 2018,”

“Of course, the German industrial production data are very noisy, but even with a big rebound in December, it is no longer possible to rule out even a small GDP contraction in the fourth quarter of 2018.”

From the article linked above:

German data continues to deteriorate with the latest industrial production figures falling sharply. The monthly rate surprised to the downside with a fall of 1.9% (Exp. 0.3%), which in turn dragged the yearly rate to -4.7% (Exp. -0.8%). This also follows yesterday’s weak factory order, consequently increasing the risk that Germany is heading for a technical recession.

From the article linked above:

Government figures show that industrial production in Germany dropped for the third consecutive month in November, a development that’s likely to fuel concerns that Europe’s biggest economy may have entered a technical recession in last year’s fourth quarter.

The Economy Ministry said Tuesday that production was down 1.9 percent compared with the previous month.

That follows declines of 0.8 percent and 0.1 percent in the previous two months, meaning that the crucially important industrial sector will be a sizeable drag on the overall economy during the third quarter.

Meanwhile in our country, our President tweeted the following this morning:

He is ABSOLUTELY right!

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