GDP

The first release of last quarters GDP was a healthy appearing 3.4%. So why didn't the stock market cheer?

Take a look at the details. Particularly note the "blue" area of the contribution to GDP, consumer spending:


If the consumer continues to pull back, GDP going forward will be under pressure. So while the headline number was pretty good, the devil is in the details. Given that recently consumers have made of 2/3 of the economy, there is real recession concerns in the report.