US GDP revised down...again...

[GRG55]

U.S. Economy Grew at 2.2% Annual Rate Last Quarter

Dec. 22 (Bloomberg) -- The economy in the U.S. expanded in the third quarter at a slower pace than anticipated as companies curbed spending and cut inventories at an even faster pace, reductions that have set the stage for acceleration in growth.

The 2.2 percent increase in gross domestic product from July through September compares with a 2.8 percent gain previously reported by the Commerce Department in Washington...

...The 2.8 percent projected pace of growth was based on the median estimate of 73 economists in a Bloomberg News survey. Estimates ranged from gains of 2.5 percent to 3.7 percent. The GDP report is the third and final for the quarter. The government’s advance estimate two months ago was 3.5 percent...

[FRED]

Re: US GDP revised down...again...

U.S. Economy Grew at 2.2% Annual Rate Last Quarter

Dec. 22 (Bloomberg) -- The economy in the U.S. expanded in the third quarter at a slower pace than anticipated as companies curbed spending and cut inventories at an even faster pace, reductions that have set the stage for acceleration in growth.

The 2.2 percent increase in gross domestic product from July through September compares with a 2.8 percent gain previously reported by the Commerce Department in Washington...

...The 2.8 percent projected pace of growth was based on the median estimate of 73 economists in a Bloomberg News survey. Estimates ranged from gains of 2.5 percent to 3.7 percent. The GDP report is the third and final for the quarter. The government’s advance estimate two months ago was 3.5 percent...

MEMO
To: BLS
From: Federal Reserve
Date: Dec. 10, 2009
Subject: Lower Q3 GDP

We'd like a lower revised Q3 GDP number this month, please, to convey a weak "recovery" and relieve pressure from the bond market for us to raise short term interest rates. While you're at it, please revise unemployment data for Nov. upwards.

30 Year Treasury bond before Q3 GDP revision

MEMO
To: BLS
From: Federal Reserve
Date: Dec. 22, 2009
Subject: Lower Q3 GDP

Thank you!

30 Year Treasury bond after Q3 GDP revision

:p

[Quincy K]

Re: US GDP revised down...again...

U.S. Economy Grew at 2.2% Annual Rate Last Quarter

Dec. 22 (Bloomberg) -- The economy in the U.S. expanded in the third quarter at a slower pace than anticipated as companies curbed spending and cut inventories at an even faster pace, reductions that have set the stage for acceleration in growth.

The 2.2 percent increase in gross domestic product from July through September compares with a 2.8 percent gain previously reported by the Commerce Department in Washington...

...The 2.8 percent projected pace of growth was based on the median estimate of 73 economists in a Bloomberg News survey. Estimates ranged from gains of 2.5 percent to 3.7 percent. The GDP report is the third and final for the quarter. The government’s advance estimate two months ago was 3.5 percent...

So the economy expanded 20 percent less than previously recorded but this is actually good news because inventories were bought down.

Spin.

Spin.

Spin.

[Chomsky]

Re: US GDP revised down...again...

MEMO
To: BLS
From: Federal Reserve
Date: Dec. 10, 2009
Subject: Lower Q3 GDP

We'd like a lower revised Q3 GDP number this month, please, to convey a weak "recovery" and relieve pressure from the bond market for us to raise short term interest rates. While you're at it, please revise unemployment data for Nov. upwards.

30 Year Treasury bond before Q3 GDP revision

MEMO
To: BLS
From: Federal Reserve
Date: Dec. 22, 2009
Subject: Lower Q3 GDP

Thank you!

30 Year Treasury bond after Q3 GDP revision

:p

Brilliant! Thanks FRED.

[GRG55]

Re: US GDP revised down...again...

MEMO
To: BLS
From: Federal Reserve
Date: Dec. 10, 2009
Subject: Lower Q3 GDP

We'd like a lower revised Q3 GDP number this month, please, to convey a weak "recovery" and relieve pressure from the bond market for us to raise short term interest rates. While you're at it, please revise unemployment data for Nov. upwards...

Little Brother is watching...;)

U.S. debt 'serious' concern for Canada, Flaherty warns

Paul Vieira, Financial Post
Published: Tuesday, December 22, 2009

OTTAWA -- Canada could face "serious" economic consequences should the United States fail to address its bulging budget deficit, warns Finance Minister Jim Flaherty.

"The situation in the United States is serious in terms of the size of their deficit," Mr. Flaherty said in an interview. "That is a persisting concern" for the Canadian economy, as the United States is by far Canada's largest trading partner...

...While Mr. Flaherty expressed confidence about Canada's economic prospects this coming decade as the country taps new emerging markets, he also acknowledged one of the big threats – namely, the U.S. fiscal situation, which analysts describe as "horrendous."...