Second-quarter U.S. GDP jumps 4.1% boosting hopes that economy is ready to break out of decade-long slumber

“Gross domestic product grew at a solid 4.1 percent pace in the second quarter, its best pace since 2014, boosting hopes that the economy is ready to break out of its decade-long slumber,” Jeff Cox reports for CNBC. “The number matched expectations from economists surveyed by Reuters and was boosted by a surge in consumer spending and business investment.”

“That’s the fastest rate of the growth since the third quarter of 2014 and the third-best growth rate since the Great Recession. In addition to the strong second quarter, the Commerce Department revised its first-quarter reading up from 2 percent to 2.2 percent,” Cox reports. “In recent days, White House officials have been indicating the reading will be strong. President Donald Trump himself tweeted a few days ago that the U.S. has the ‘best financial numbers on the planet,’ while National Economic Council Chairman Larry Kudlow predicted on Thursday that Q2 GDP will be ‘big.'”

“The administration has used a mix of tax cuts, deregulation and spending increases to goose growth,” Cox reports. “White House budget director Mick Mulvaney told CNBC earlier this week that deregulation likely has had the most impact so far as companies feel more comfortable about committing capital… ‘We’re on track to hit the highest annual growth rate in over 13 years,’ President Donald Trump said in remarks an hour after the report hit. ‘And I will say this right now and I will say it strongly, as the deals come in one by one, we’re going to go a lot higher than these numbers, and these are great numbers.'”

 
Read more in the full article here.

MacDailyNews Note: A strong U.S. economy and high consumer confidence obviously bode well for Apple!

In premarket trading, shares of Apple Inc. are currently up $0.82 (+0.42%) to $195.03.

SEE ALSO:
Dow rises as Wall Street weighs strong U.S. jobs report, Trump administration’s China tariffs – July 6, 2018
What Apple’s $100 billion buyback plan says about President Trump’s tax cuts – May 2, 2018
U.S. consumer confidence hits 14-year high – March 16, 2018
Dow and S&P 500 close higher on upbeat U.S. labor market data – February 22, 2018
U.S. sees strongest holiday sales since 2010 – January 12, 2018
Dow, S&P 500 and Nasdaq rocket to new all-time records – January 11, 2018
S&P 500 and Nasdaq rise to records on first trading day of 2018 – January 2, 2018
U.S. employment jumps more than expected in November, boosts U.S. stocks – December 8, 2017
U.S. third-quarter GDP revised to three-year high of 3.3% – November 29, 2017
Goldman Sachs sees U.S. unemployment rate hitting lowest level since the late-1960s – November 20, 2017
American consumer confidence soars to highest level since December 2000 – October 31, 2017
U.S. jobless claims plunge to lowest level since 1973 – October 19, 2017
U.S. economy picks up steam; second-quarter GDP up 3.0% reflecting robust consumer spending and strong business investment – August 30, 2017
U.S. consumer confidence shows Americans upbeat on jobs, economy – July 25, 2017

54 Comments

    1. The news today is positive and confidence inducing, but your image is just studio and tacky. Can’t you simply embrace and present the news w/o the embracing Don as Super-hero mentality? Be provocative, but with substance, please.

    2. Deficit spending can do wonders for an economy.

      I’m with Kasich: I didn’t leave the Republican Party, the party left me. The party that was once noted for fiscal responsibility, family values, and national defense, is now best known for blowing up the budget, caging children, and kissing Putin’s ass.

      It is notable that the last times the federal budget was balanced or showed a surplus was during the Clinton and Obama administrations.

      1. Both parties are known for blowing up the budget, caging children and no one is kissing Vlad’s ass. Obama seemed to like Medvedev, though

        Don is selling defensive weapons to Ukraine, he refuses to legitimize Russia’s “absorption” of Crimea, he challenged Angela about purchasing gas from Russia (their #1 revenue stream). Yep, it’s true Putin love.

        What universe are you finding “balance or surplus” in Obama’s reign? Who controlled the purse during Clinton’s terms? I’d like to know where you get your info.

        Btw, while I acknowledge the great econ news of today, they’re greatly soured by the overspending/deficit.

      2. Obama?!
        NOBODY created bigger deficits than Obama. He quadrupled the biggest deficits ever. He DOUBLED our debt. That is, he gave us as much debt as all previous presidents combined. And he gave us nothing to show for it.

        We came close to a balanced budget under Clinton but that wasn’t Clinton’s doing; it was Republicans led by Newt Gingrich. If you look at the actual numbers, the debt went up EVERY year under Clinton. The budget was forecasted to be balanced but it never actually balanced.

      3. I was wrong about the Obama budgets. He ran a deficit as well and didn’t balance the budget. But he did let Trump inherit a very robust economy.

        He also inherited a disastrous economy from the “deficits don’t matter” Bush-Cheney administration.

        1. Q1 GDP: 2016 0.6%
          Q4 GDP: 2016 1.8%

          I would hardly call that inheriting a “robust” economy. The GDP numbers under Trump are far more robust.

          Obama doubled the national debt more than ALL presidents before him combined. That’s his legacy along with an Affordable Care Act that was a bold lie and anything but affordable.

          Bush-Cheney were not responsible for the collapse of the housing market and meltdown of Wall Street. Dodd-Frank bill was the culprit loaning to people that could not afford it and lacked personal responsibility. Yes, Obama inherited the mess thanks to a bill from fellow Democrats …

  1. The Democrat Party’s worst nightmare: A healthy, growing economy with high employment!

    I want to meet these 9% so-called Republicans. The poor fools must value “norms” and so-called decorum more than they value actual results!

  2. Front loading overseas farm commodity sales to beat the tariffs imposed by China. 4.1 will fall back next quarter. Don’t get too excited. Obama provided the following administration with a solid economic foundation.

    Trump will, in the end, manage somehow to destroy the economy.

    1. Exactly. Most of the quarterly gain was due to one-time issues: consumers spending their first take-home “raises” due to the tax bill and US exports rising by 9% as shippers and buyers tried to get in ahead of higher tariffs. The underlying rate of growth isn’t a lot higher than in the last year of the previous administration.

      1. it is sad really, watching the left scratch and dig for bad news. There must be some kind of race angle here somewhere they can use. We’ll just ignore the employment figures and say it’s one time tax cuts, as if the cuts are for only one pay cycle. Never mind that economists have said for decades, IF you want to boost the economy, lower taxes.

        The left wants misery. Equal misery they can blame on Republicans. The left thrives on misery. It’s all they have to offer. They depend on you believing you’re some kind of victim. That someone has done something to you.

        Well their swamp is draining and they are flapping like dying fish in the mud chanting “#metoo?” “Racist! Racist Ra…”

        “…In short, it is a paradoxical truth, that tax rates are too high today and tax revenues are too low, and the soundest way to raise the revenues in the long run, is to cut the rates now. The experience of a number of European countries and Japan have born this out. This country’s own experience with tax reduction in 1954 has born this out. And the reason is, ONLY FULL EMPLOYMENT CAN BALANCE THE BUDGET. AND TAX REDUCTION CAN PAVE THE WAY TO THAT EMPLOYMENT. The purpose of cutting taxes now is not to incur a budget deficit, but to achieve the more prosperous expanding economy, then can bring a budget surplus…”

        – PRESIDENT JOHN KENNEDY

      2. 1st, he was a community organizer, that never ran a business, pref’d central vs capitalistic econ, was a unnotable lawyer and thought there was a point you made to much $$…unless, of course “it” happens to himself.
        Most notably, what was his #1 Priority during the all of his 1st term and part of his 2nd? It was directing 1/6 of the entire US economy into a plan that was/is so half-baked and unsustainable. The heart of the plan required the youngest and healthiest portion of the population to participate in order to fund the bulk of the plan for the rest. How ‘F’G stupid! Again, it’s 1/6 of the economy and we were told it needed to be passed to find out what’s in it.” One of the major designers of the plan called the populace too stupid to see the reality within.
        This same man is being credited for today’s growth?! I wouldn’t trust him to do my personal bookkeeping…he’s a financial juvenile.
        The TDS is eroding the minds of many today.

        1. Yes, it was really f’g stupid to design a healthcare program that allowed people who actually needed medical care a means to afford it. We could have given all those extra bodies as fertilizer to the farmers for the loss of their profits to tariffs. 2020 slogan: “Soylent Green for Soybeans!”

          1. That’s a really vapid and juvenile response to a material answer to your own words txuser. Please, let’s hear something substantial in regard to Obama’s economic expertise.

            A real solution is when it’s broadly positive and not nearly as shifting of the deck chairs like his plan. At the heart of the matter, he titled it something that was a complete lie and many of his statements throughout the process were consistent with that lie.

            I see no way that anyone can honestly and intellectually stand up for this plan and call it “good.” Like I said, one of the main designers implied we were idiots because we wouldn’t see the truth of the plan. That sits well with you?

            Warning: TDS in effect and spreading

          2. Yes, IT WAS f’g stupid. Only government can come up with a mess, call it the Affordable Care Act, but you need subsidies to afford it!

            As for me, I lost MY plan, MY doctor. On Obamacare, after the first year, I lost that plan. Second year, new plan, lost MY Specialist doctor for my pre-exsisting condition. Third year, monthly premium rates were becoming unattainable that by the fourth year, I could no longer afford the Affordable Care Act as my monthly payout at the start of the fourth year increased over 100%, from $380/mo at the start of my Obamacare to $877/mo at the beginning of the fourth year. And those morons, Obama, et. el. had the GD nerve to apply a mandate that if I didn’t have Obamacare they would fine me?!? So, they priced me out of their own worthless program and were going to fine me because they created a mess that I could no longer afford. Thank God for Trump and some sanity as he EO’d the elimination of that stupid mandate.

            Now, I don’t have my personal insurance I had for over 12 years, who covered me sight unseen, even with the knowledge of my preexisting condition, to Obamacare where government mandating all these requirements causing my premium to skyrocket, to today, the crappiest personal health insurance I have ever had that DOES NOT cover my preexisting condition!

            But hey, America got her first black president and that is all that matters.

            Thanks American voters. Thanks a lot!

            And now we have the worthless politicians who fight to keep this garbage to “preserve Obama’s Legacy”.

            I don’t give a shit about Obama or his legacy. I was bothering no one when this intrusive government involved itself where it has no business being in.

          3. as conservative a couple of weeks ago. Many responded noting the erroneousness. At that point, I didn’t know. Today I do. You’re not a conservative.
            I couldn’t care less what you call yourself, or where you stand, but when deceptiveness is used, the terms change. I call out your deceptiveness and your opinions become suspect.

            1. Absolutely correct and it is really good to see others coming to the same conclusion after two years of USER LIES and DECEIT.

              I did not save the exact quote from him months ago where he proudly stated something like he is 100% not giving credit to anything positive regarding President Trump. Sounds like an EXTREME liberal activist to me and anything but a common sense conservative.

              Just read the posts:

              100% Republican and current administration negative.

              100% positive defense and promotion of Democrats.

              Duh. The jig is up and he can hide no longer …

          4. “that allowed people who actually needed medical care a means to afford it.“

            Finally, you lost it. “Afford it” seriously!?! Just can’t handle the superlative economic news. I knew it was only a matter of time FAKE conservative. I spotted your shameful deceit years ago. The best part is many others have come to the same realization and some calling you out. Pay close attention: YOU HAVE NO CREDIBILITY …

    2. What exactly did the economic neophyte do for a solid economic foundation?
      He made some very foolish decisions exactly to the opposite in my mind. Please name the foundation elements.
      TDS in effect.

  3. President Trump just concluded a live brief White House event announcing GDP growth and other economic numbers. The first company he mentioned (9:51 a.m. EST) for investing billions in the U.S. was … ta da — Apple!

    MAGA … 🇺🇸

    1. To paraphrase the great Ronald Reagan, “Recession is when your neighbor loses his job. Depression is when you lose yours. And recovery is when Barack Obama loses his.”

  4. Before this descends into jackassery, I will just leave this here:
    In Q2 & Q3 of 2014 US GDP hit 4.6% & 5.2% respectively. I don’t remember all of you crazy fun balls crowing then or ghvj g ahh credit for that growth to the president. That is all.

    1. Then what happened?

      I’ll tell you: By the end of 2015, growth had slowed to 0.4%.

      0.4%.

      We don’t call him The Obama Failure for nothing.

      1. Let’s lost every quarter from Q3 2014 shall we?
        Q4 14 2%
        Q1 15 3.2%
        Q2 15 2.7%
        Q3 15 1.6%
        Q4 15 0.5%
        Q1 16 0.6%
        Q2 16 2.2%
        Q3 16 2.8%
        Q4 16 1.8%
        Q1 17 1.2%
        Q2 17 3.1%
        Q3 17 3.2%
        Q4 17 2.9%
        Q1 18 2.6%
        Q2 18 4.1%

        Do you see the correlative pattern and cyclical nature of GDP growth? And you can’t even lie properly anymore. 0.4 never happened, and that was a dip, just like anything above 3 is a spike.
        By that logic, when this dips again, it’ll be this persons fault right? When the overheating naturally comes back to earth like to always does that’ll be on him right? Because based on your own logic and words, that’s how that should go right? Right?
        No, that’ll never Halle. Becaus tyoire nothing but a troll propagandist who deliberately distorts information to support your nonsense. This is why people don’t interact with you anymore, it’s pointless. So, have a nice day and kindly go screw yourself and maybe take an economics course to learn how growth rate math actually works.

  5. Spike.
    Fake news.
    Because I see more and more homeless along the river trail during my bike rides as well as downtown and under freeway overpasses.
    So where is the GDP growth? It’s probably mostly among Wall St. gamblers, military contractors, and Capitalists.

  6. A major stimulus is likely to have some effect, but look at the deficit. The debt is increasing at historic levels, interest rates will be rising to counter the high inflation rate, the tarrifs are projected to dramatically raise prices, and gas prices are through the roof. Real wages have not risen, the gap between rich and poor is widening, as any economic benefit goes to the 1%. The war on the environment will cost a fortune to repair the damage, and some will never be repaired. Climate change, and the failure to address it, is projected to have devastating economic consequences as well. These short term policies, which accelerate the redistribution of wealth from the working middle class to the wealthy, will come back haunt us soon.

    1. Deficit?

      “…In short, it is a paradoxical truth, that tax rates are too high today and tax revenues are too low, and the soundest way to raise the revenues in the long run, is to cut the rates now. The experience of a number of European countries and Japan have born this out. This country’s own experience with tax reduction in 1954 has born this out. And the reason is, ONLY FULL EMPLOYMENT CAN BALANCE THE BUDGET. AND TAX REDUCTION CAN PAVE THE WAY TO THAT EMPLOYMENT. The purpose of cutting taxes now is not to incur a budget deficit, but to achieve the more prosperous expanding economy, then can bring a budget surplus…”

      – PRESIDENT JOHN KENNEDY

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