WOW! Germany & the Rest of the European Union Are NOW In A Recession While America Continues To Flourish….

Reality has come home to roost for Germany and the European Union. They will do everything in their power to convince us that this is just a blip and there is no reason to be concerned about a recession. THEY ARE LYING! The PMI Indicator is considered to be in contraction if the overall monthly number is below 50. Germany is sitting at 44.7 and falling.

From the article linked above:

German manufacturing contracted further in March, a survey showed on Friday, compounding fears that unresolved trade disputes are exacerbating a slowdown in Europe’s biggest economy.

After nine successive years of growth, the German economy is facing trade conflicts between the United States and both China and the European Union as well as weakening economic activity in the euro zone.

IHS Markit’s flash composite Purchasing Managers’ Index (PMI) measuring activity in services and manufacturing, which together account for more than two-thirds of the economy, fell to 51.5, it lowest reading since June 2013.

The fall was mainly driven by the weakest activity in manufacturing since August 2012. That sub-index fell to 44.7, remaining below the 50.0 mark separating growth from contraction for a third straight month.

From the article linked above:

European stock markets fell back on Friday after downbeat manufacturing data from Germany reignited fears of a recession in the region’s biggest economy, erasing early gains on relief at the extension of Britain’s Brexit deadline.

The euro zone-wide flash PMI showed businesses also performed much worse than expected this month, while French business activity slowed unexpectedly.

“With numerous headwinds facing the manufacturing sector in Germany – including a slowdown in the automotive sector, Brexit, U.S.-China trade and a global economic slowdown – there’s little to be optimistic about,” said Craig Erlam, senior market analyst at Oanda in London.

Our President is an APEX PREDATOR! He knows that the best time to get a trade deal done that favors our country is when another country and/or bloc is on the cusp of a disaster (i.e. militarily, economically etc.). You can bet your bottom dollar that the 25% tariffs will be imposed on cars and parts imported from the European Union.

Meanwhile the Economic Train continues to steam along as our President and his Killers continue to feed her engines.

Earlier today Maria Bartiromo had a one-on-one interview with our President. They discussed the economy during the interview.

Charles Payne was on this morning saying that our President was right once again and that Fed Chairman Jerome Powell and his folks are starting to throw their old models out. MAGAnomics has a way of turning their BS models into toilet paper.

From the article linked above:

Existing home sales in the U.S. skyrocketed in February, the largest gain since December 2015 fueled by rising wages, higher confidence and lower mortgage rates. 

Total existing-home sales–or, completed transactions that include single-family homes, townhomes, condominiums and co-ops–soared 11.8% to a seasonally adjusted annual rate of 5.51 million. Sales are now only down 1.8% from a year ago. They were 5.61 million in February 2018.

The consensus forecast was calling for 5.1 million, with forecasts ranging from 4.990 million to 5.470 million.

“A powerful combination of lower mortgage rates, more inventory, rising income and higher consumer confidence is driving the sales rebound,” Lawrence Yun, NAR’s chief economist said.

I think GM got the message loud and clear. This is the first of many announcements to come from them.

From the article linked above:

  • General Motors will invest $300 million and add 400 jobs to build a new electric vehicle at its Orion Assembly Plant in Michigan.
  • GM has pledged to spend $1.8 billion on manufacturing in the U.S., and create 700 new jobs.

The investment is a portion of the $1.8 billion GM pledged to spend on manufacturing in the U.S., which will create 700 new jobs and support a further 28,000 jobs across six states, the company said.

GM had originally intended to build the new vehicle outside the U.S. The automaker said it moved production back because the new vehicle will be based on an advanced version of the platform used in the current Chevrolet Bolt electric vehicle, which the Orion plant currently builds.

In addition, moving production to the U.S. “supports the rules of origin provisions in the proposed United States, Mexico and Canada Agreement,” the company said.

Keep in mind that the 1st Quarter real GDP rate historically comes in at 1.2%. Last year the 1st Quarter reached 2.2%. Up until today, the Atlanta Federal Reserve GDP NOW model had the rate at 0.4% or lower. It is now going up!

Our President retweeted this piece with Lou Dobbs and Larry Kudlow from last night.

Please promise you will never get tired of WINNING!

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