US economy grows at 3.3% annual pace in fourth quarter, faster than expected

[KenH]

"For the year, the US economy grew at an annualized rate of 2.5% up from 1.9% in 2022."

- rest at GDP: US economy grows at 3.3% annual pace in fourth quarter, faster than expected

 

[Earth Wind and Fire]

"For the year, the US economy grew at an annualized rate of 2.5% up from 1.9% in 2022."

- rest at GDP: US economy grows at 3.3% annual pace in fourth quarter, faster than expected

What’s faster than expected mean exactly?

 

[KenH]

What’s faster than expected mean exactly?

It's in the article.

 

[JonC]

What’s faster than expected mean exactly?

High interest rates for awhile longer?

 

[KenH]

High interest rates for awhile longer?

I hope so. I don't want the 2% inflation rate the Federal Reserve aims for; I want it to be 0%.

 

[Earth Wind and Fire]

It's in the article.

Of course it had nothing to do with the Fed statement that they are not going to raise interest rates I suppose. Here is a tip, buy Ozempic and Stanley tumbler stock… and Pelatons climbing back

 

[KenH]

Of course it had nothing to do with the Fed statement that they are not going to raise interest rates I suppose. Here is a tip, buy Ozempic and Stanley tumbler stock… and Pelatons climbing back

The estimate was for 2%: "Economists surveyed by Bloomberg estimated the US economy grew at an annualized pace of 2% during the period."

 

[KenH]

Here is a tip, buy Ozempic and Stanley tumbler stock… and Pelatons climbing back

My investment advisor handles my investments.

 

[Earth Wind and Fire]

Of course it had nothing to do with the Fed statement that they are not going to raise interest rates I suppose. Here is a tip, buy Ozempic and Stanley tumbler stock… and Pelatons climbing back

Note… the EV market, not so much. Think internal combustion engines then give hybrids another 2-3 yr windows cause Trump will be back in the saddle baby and oil & natural gas will be flowing again.

 

[Earth Wind and Fire]

My investment advisor handles my investments.

How they doing?

 

[JonC]

I hope so. I don't want the 2% inflation rate the Federal Reserve aims for; I want it to be 0%.

There are pros and cons.

Inflation typically means an increase in employment, production, investment returns, and income. But it has a negative impact on export income.


If you notice, political parties always talk about the aspect that sounds good (when inflation is up the party in power talks about unemployment being low, the party seeking power talks about inflation ...and vice versa).

 

[KenH]

There are pros and cons.

There is no "con" to having a 0% inflation for most Americans, especially those living on a fixed income. Even if the Federal Reserve can keep inflation "contained" at exactly 2%, over 10 years that is a decrease in overall purchasing power of 21.9%.

 

[KenH]

How they doing?

Fine. He executes the plan the way I want - I am willing to forego gains when the market goes up in order to reduce losses when the market goes down.

For example, just to pick some numbers, if the market goes up 15%, I am willing to accept a 5% increase, because if the market goes down 15%, then my loss is limited to 5%.

 

[KenH]

Note… the EV market, not so much. Think internal combustion engines then give hybrids another 2-3 yr windows cause Trump will be back in the saddle baby and oil & natural gas will be flowing again.

"December 2023 marked a new all-time monthly high for natural gas production, and overall production for the year beat the previous record by 3.7%." - Shale Boom Powers U.S. To Third Consecutive Annual Natural Gas Record

"The U.S. set a new annual oil production record on December 15, based on data from the Energy Information Administration." - U.S. Producers Break Annual Oil Production Record

 

[Earth Wind and Fire]

High interest rates for awhile longer?

Yes… another guess by the economy experts… lol!

 

[Earth Wind and Fire]

"December 2023 marked a new all-time monthly high for natural gas production, and overall production for the year beat the previous record by 3.7%." - Shale Boom Powers U.S. To Third Consecutive Annual Natural Gas

"The U.S. set a new annual oil production record on December 15, based on data from the Energy Information Administration." - U.S. Producers Break Annual Oil Production Record

My annuities are growing in the PA fracking industry

 

[Earth Wind and Fire]

My annuities are growing in the PA fracking industry

psst… Bid** economics isn’t working

 

[JonC]

There is no "con" to having a 0% inflation for most Americans, especially those living on a fixed income. Even if the Federal Reserve can keep inflation "contained" at exactly 2%, over 10 years that is a decrease in overall purchasing power of 21.9%.

On a fixed income, not looking for a job, and no investments, I agree.

I am not sure where most people fit.

For me, I like some inflation because I do have investments I'd like to see grow for about 7 to 10 years.

After that, I'm with you. 0% would mean my expenses don't increase and I won't be looking for a job so the unemployment rate increase won't affect me too much.

BUT then again, I think we have to consider the population as a whole. While you and I may not be concerned about investment income or a rise in unemployment, it will affect others.

Part of the problem with our nation now is that each person seems to only care about themselves.

Remember the deflationary economy in Japan?

We have to guard against hyper inflation, but a stagnant economy (0% inflation) is more problematic and difficult to recover than slightly increased inflation. Many economists recommend a higher target than 2% (to help guard against a recession).

 

[KenH]

but a stagnant economy (0% inflation)

Inflation is not required for economic growth.

Are you perhaps referring to a fixed growth rate rule for the money supply?

 

[KenH]

On a fixed income, not looking for a job, and no investments, I agree.

I am not sure where most people fit.

You do know that the percentage of the U.S. population that is retired and will soon be retiring is growing a lot, right?