Keeping his word, and putting the feckless former president to shame, the Trump economy is setting a torrid pace in the first three months of 2018, putting it on track to notch its best quarter in nearly a decade, a forecast model from the Atlanta Federal Reserve showed.
President Obama’s economic legacy was one of complete ineptitude, with the average GDP growth rate during his tenure was about 1.5%. The only president with a worse economic record since 1930 is Herbert Hoover.
Gross domestic product, the government’s broadest economic gauge, is on track to grow at a 5.4 percent annualized rate in the first quarter, the Atlanta Fed’s Nowcast model showed, shortly after the release of U.S. manufacturing and construction spending data.
The latest GDP estimate was higher than the 4.2 percent growth pace the Atlanta Fed calculated on Monday and the 3.2 percent growth the government reported for the last quarter of 2017, CNBC reports.
The Institute for Supply Management said its index on national factory activity slipped less than expected to 59.1 in January from 59.3 in December. Separately, the Commerce Department said construction spending rose 0.8 percent to a record high of $1.25 trillion in December.
That comes as jobless claims hover around generational lows and the unemployment rate is at 4.1 percent. Productivity, however, continues to be lackluster, falling 0.1 percent in the fourth quarter against an expected rise of 1 percent.
Still, the latest forecast reinforced the view that U.S. businesses and consumers are in good shape, which would allow the Federal Reserve to further raise interest rates in 2018.
President Donald Trump rode to office on promises of growth that would hit at least 3 percent and run as high as 6 percent.
So far, he has been good on his word. Amazing what having a capitalist, and not a communist can do for an economy, isn’t it?
Mr Americana, Overpasses News Desk
February 1st, 2018