U.S. GDP Dropped 1% In The First Quarter 2014, Down From First Estimate

[Chris_]

U.S. GDP Dropped 1% In The First Quarter 2014, Down From First Estimate

New data shows the U.S. economy contracted in the first quarter of this year,  keeping pace with shifting expectations but down sharply from the prior — already disappointing — estimate.

On Thursday, the Bureau of Economic Analysis’ second estimate of  real gross domestic product showed output produced in the U.S. declined at an annual rate of 1% in the first quarter of 2014. This is relative to fourth quarter 2013, when real GDP increased 2.6%.

The estimate is down significantly from BEA’s 0.1% advance estimate released last month and makes Q1 the U.S. economy’s worst quarter in three years. However, economists were anticipating a downward revision and the major stock indices remained in the green immediately after the release indicating investors were also prepared for bad news.

Forbes

NEGATIVE 1% growth.  Awesome. 

All I can say is that I'm extremely grateful to have any job in this terrible economy.

[DLR Pyro]

the oministration and his lapdogs in the press are blaming it on the cold winter.

[docstew]

the oministration and his lapdogs in the press are blaming it on the cold winter.

And when it continues into next quarter? Will they blame it on lovely spring weather?

[Maxiest]

And when it continues into next quarter? Will they blame it on lovely spring weather?

Then it will be global warming.

[Lacarnut]

Thankful that I am retired. Hope everyone here keeps their job and prospers.

[Bad Dog]

And the stock market goes up??????????

[obumazombie]

Posting this in my other site...Done.
Thanks for posting it here.

[catsmtrods]

The cold winter was caused by global warming? I'm confused.

[JohnnyReb]

The cold winter was caused by global warming? I'm confused.

For every action there is a reaction, equal and in the opposite direction.....for instance, Obama is brilliant, democrats R DUmb.

[DumbAss Tanker]

And the stock market goes up??????????

Yep - because it means the Fed is more likely to back off on the easy money.  Thanks to QE1, QE2, and QE3, we've been living in a world where good is bad and bad is good, stock prices have been moving in somewhat contrarian directions since the Fed intervened to 'Help' the economy.  Suffice it to say that some people made immense amounts of freshly-printed money from the whole thing, but it mostly went into inflating stock prices instead of productive investments or rehabilitation of the real estate market as was the supposed intent.  Real wages declined somewhat and the inflation metrics remained modest, so the Fed regarded the whole thing as a smashing success, though.

"However, economists were anticipating a downward revision and the major stock indices remained in the green immediately after the release indicating investors were also prepared for bad news."

If by 'Prepared for bad news' the writer meant 'Overjoyed because it means no early end to quantitative easing,' I suppose that statement is correct.

[Wineslob]

the oministration and his lapdogs in the press are blaming it on the cold winterBUSH.

FIFY

[Dori]

And the stock market goes up??????????

The stock market today doesn't represent the health of our economy.

The only reason the stock market is up is because of the Feds printing 85 billion a month.  That was supposed to trickle into the economy, but it hasn't.  It's stayed on the monopoly board, called wall street.

[J P Sousa]

And the stock market goes up??????????

I'm almost embarrased to say my IRA is up from december 2013 by 8.9%. 

.

[J P Sousa]

The liberals want to replace the GDP with GPI.

In America, many states are finding new, more holistic measures of progress. Already, Maryland, Oregon and Vermont have begun using the genuine progress indicator (GPI).

GPI takes into account 26 social, economic and environmental indicators. These include financial factors such as inequality and the cost of underemployment. But GPI also considers the cost of pollution, climate change and non-renewable energy resources. And it explores the possible social impacts, such as the cost of commuting and crime.

http://www.washingtonpost.com/posteverything/wp/2014/06/05/why-we-should-abolish-the-gdp/

Look for Obama to replace the GDP with GPI .....

.

[Chris_]

More fuzzy math.

[Lacarnut]

The liberals want to replace the GDP with GPI.


Look for Obama to replace the GDP with GPI .....

.

Stupid liberals

[DLR Pyro]

More fuzzy math.

common core math

[Eupher]

The number has dropped to -2.9%.

This is looking more and more like another recession, not a "recovery." 

The U.S. economy contracted by 2.9 percent in the first quarter of 2014, prompting the headline, U.S. Economy Shrinks By Most Since Great Recession, over at Fox Business.

 The Commerce Department said on Wednesday gross domestic product fell at a 2.9 percent annual rate, the economy's worst performance in five years, instead of the 1.0 percent pace it had reported last month.

While the economy's woes have been largely blamed on an unusually cold winter, the magnitude of the revisions suggest other factors at play beyond the weather. Growth has now been revised down by a total of 3.0 percentage points since the government's first estimate was published in April, which had the economy expanding at a 0.1 percent rate.

The silver lining?

There are indications that growth has since rebounded strongly.

http://townhall.com/tipsheet/katiepavlich/2014/06/25/on-the-road-back-to-recession-economy-shrinks-by-29-percent-n1855591?utm_source=BreakingOnTownhallWidget_4&utm_medium=story&utm_campaign=BreakingOnTownhall

[Dori]

The number has dropped to -2.9%.

This is looking more and more like another recession, not a "recovery." 

http://townhall.com/tipsheet/katiepavlich/2014/06/25/on-the-road-back-to-recession-economy-shrinks-by-29-percent-n1855591?utm_source=BreakingOnTownhallWidget_4&utm_medium=story&utm_campaign=BreakingOnTownhall

Why were they so far off?  I have no faith is the Government/s numbers.

Who knows how bad off we really are. 

[obumazombie]

Every revision gets further away from owebumaManiaMedia propaganda numbers and closer to the truth.

[Eupher]

Why were they so far off?  I have no faith is the Government/s numbers.

Who knows how bad off we really are. 

I'm no expert on this, but it's my understanding that the GDP numbers are released fairly soon after the close of the quarter. But that number is an estimate. It's based on the economists' best assumptions and information they have at the time.

Later on, when more precise and pertinent data come in, those numbers are revised.

That's what we're seeing here.

[JohnnyReb]

I'm no expert on this, but it's my understanding that the GDP numbers are released fairly soon after the close of the quarter. But that number is an estimate. It's based on the economists' best assumptions and information they have at the time.

Later on, when more precise and pertinent data come in, those numbers are revised.

That's what we're seeing here.

....and it's easier to hide the truth 2 months later.

[thundley4]

I'm no expert on this, but it's my understanding that the GDP numbers are released fairly soon after the close of the quarter. But that number is an estimate. It's based on the economists' best assumptions and information they have at the time.

Later on, when more precise and pertinent data come in, those numbers are revised.

That's what we're seeing here.

....and it's easier to hide the truth 2 months later.

And almost every single estimate whether it is the GDP, Unemployment, Inflation are always at first wrong to make Obama look better. A week, a month or two months later revised numbers are released and get very little coverage from the MSM because they always make Obama look bad.

[Tess Anderson]

If there's a DUmp thread on this, I can't find it.

It's not unusual to have the GDP numbers revised, because some of it are projected figures but I thought Q1 was -0.1 and now it's adjusted to -2.9%???

The only answer I've found so far as to why that big of an adjustment was that healthcare expenditures were not nearly what they expected but that's lipstick on a pig. And now, for some unfathomable reason, "economists" think Q2 will come in at over +3%? The increase in government expenditures in Obamacare/Medicaid?

Any economic number coming out from this WH ought to be suspect.

[obumazombie]

I find it hard to believe anyone thinks owebuma tells the truth after the series of massive wanton and with aforethought lies he has been caught red handed in.