Tuesday, June 14, 2016

The retail sales need a revision

The sales figures look good in the USA.  But there has been a recent 20% rise in oil prices.  So we should be a bit cautious until we see the revisions as unexpected 'nflation' may have crept into the numbers. .  GDN-Now has GDP growth at 2.8%.  That is too high  based on a retail spike alone. The consumer was deflating consumer prices just the prior quarter.  I doubt the consumer found new cash, especially with such low job growth.

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