News about inflation

From Bloomberg, and as noted just now by @annmarie, worries about high inflation and elevated interest rates are getting in the way of voters’ appreciation for the US #economy’s #growth performance. #EconTwitter @economics pic.twitter.com/j1DaG4JTgO

🇺🇸 US Economy: Disappointing Spring🌸 📉Real #GDP in Q1 2024 ✅+1.6% q/q ✅+3.0% y/y 🛒Consumer +2.5% 🏘️Resid +13.9% 👩‍💻Biz invest +2.9% 🔻Inventory -0.4pt 📦Trade -0.9pt (strong imports⚠️) 🏦Gov +1.2% 📉PCE #inflation ⤵️Headline 2.6% y/y (-0.2pt) ⤵️Core 2.9% (-0.3pt) pic.twitter.com/DGRqKIzOh3

OOPS, stagflationary numbers out of US! US economy expands at 1.6% rate in Q1, trailing all forecasts. Main growth engine – personal spending – rose at a slower-than-forecast 2.5% pace. BUT a closely watched measure of underlying inflation advanced at a greater-than-expected 3.7%… pic.twitter.com/r0Ocl36x32

The US economy expanded at a 1.6% pace in Q1. That's below expectations of 2.5%. What happened? 1. Americans aren't buying many goods (esp. cars). Services spending is still strong, but not goods 2. The Federal gov't isn't spending as much. 3. Exports and inventories were low pic.twitter.com/iNWPJQF1vp