Tepid consumer spending slowed quarterly Econ growth to 0.7% in the 1st snapshot of Trump's term

[riversedge]

Wall Street Journal‏Verified account @WSJ Apr 28

Tepid consumer spending slowed quarterly economic growth to 0.7% in the first snapshot of Trump's term

Link to tweet

U.S. GDP Growth Slowed on Tepid Consumer Spending


https://www.wsj.com/articles/u-s-gdp-rose-0-7-in-first-quarter-1493382900?mod=e2tw


Updated April 28, 2017 5:28 p.m. ET
949 COMMENTS

The U.S. economy stumbled during the first months of the year, as consumers reined in spending despite a rise in household confidence and a surge in stock prices that greeted the inauguration of President Donald Trump.

Gross domestic product, a broad measure of national output, grew at a 0.7% annual rate in January through March, the slowest pace of expansion in three years, the Commerce Department said Friday. Americans sharply cut back spending on big-ticket items like cars, causing overall consumer purchases to grow at the slowest pace since late 2009.

Major makers of household staples including Procter & Gamble Co. and PepsiCo Inc. this week reported lackluster sales due partly to weak consumer spending. Car maker Ford Motor Co. posted a 35% drop in first-quarter profit. Online retailer Amazon.com Inc. was a bright spot, reporting a jump in profit.............................

[Hortensis]

1. Some wage growth continued this year, but outpaced by inflation.

Supposedly disposable income actually dropped in January, but inflation and spending both dropped in March.

That's not why people aren't buying cars, of course. Many reasons, but I suspect even those supposed 90% of conservatives who are happy with Rump are feeling...conservative these days.