From the Marketwatch.com which is owned by DOW. It is contrary to what I think but it appears factual and Trump supportive:
"They are also relying more on technology to boost production at a time when skilled workers are increasingly hard to find.
The increase in consumer spending, however, was barely changed at a still-solid 2.3%.
Export growth was lowered a notch to 2.2%, but imports were revised to show a steeper 1.1% decline.
Big picture: Very bright. The U.S. has topped 3% growth for two quarters in a row and the economy is poised to make it three
Third-quarter GDP raised to 3.3% to mark fastest U.S. economic growth in three years
By Jeffry Bartash"
I want to use the term "fake news" but what is the opinion. Is it turning out to be a great economy for Trump??
Chet, I don't want to sound "negative" but looking at the present picture as well the DOW, then the "old" rule applies: What goes up, will also go down eventually. Looking at the steep climb of the DOW; going up a 1000 points in less than a year, that can't last. Sorry it is an bubble which will burst because of "greed" and mis-management of the economy by the present GOP government. Especially with Trump scrapping all the regulations like Dodd Frank etc., this is asking for trouble like we had in 2008 and before when the housing bubble burst. Obama introduced the right laws to prevent these things, but Trump is undoing those. Also if you should notice that technology stocks are being hammered last month; just look at the "Apple" curve. "Trickle down" economy pushed by the GOP is doomed to fail; only the rich profit from it. Thus I'm not that positive for the future economy in this country, because of its present leadership.
Also nothing of the Dow can be credited to Trump; Obama inherited an total disaster in 2008, he had to bail out banks as well GM and steadily improved the unemployment numbers as well because of proper laws made the economy more sound. Thus most of the credit should go to Obama. Each time the GOP rules the economy fails; then the Dem's has to fix it again, over and over again. Trump's crazy "tax law" will only make things worse. "Steadiness" steps like Obama did worked; not a non thought out 3 weeks draft of "tax reforms" of we have no clue, if it works at all. Also it adds one and a half trillion to our already high deficit.
The excerpt below states that Boeing has gained 562.45 since Trump has been elected. Boeing is Trading today at 325.08 and in five years has gained 233 points. Far cry from 562.45 in one year. I think something is wrong and it should be addressed. It is a real concern because of the way trading has been going on without any earnings to support it.
"Boeing Aviation (NYSE: BA), the world’s largest plane manufacturers and one of the top U.S. military contractors has gained a total of 562.45 points since President Trump’s inauguration and is up a whopping 51.65%."
Chet Ruminski Wrote:The excerpt below states that Boeing has gained 562.45 since Trump has been elected. Boeing is Trading today at 325.08 and in five years has gained 233 points. Far cry from 562.45 in one year. I think something is wrong and it should be addressed. It is a real concern because of the way trading has been going on without any earnings to support it."Boeing Aviation (NYSE: BA), the world’s largest plane manufacturers and one of the top U.S. military contractors has gained a total of 562.45 points since President Trump’s inauguration and is up a whopping 51.65%."protradertoday.com/articles/3-factors-d...
Chet Ruminski Wrote: Dutch, When several companies compete t get a contract to produce a new jet fighter don't they get paid to produce their prototypes?
Good question; it depends if it is an "product" which is "needed"; the incentive to built such is of course part of the "lobby" system. So some money gets thrown around in all kind of directions, even before there is an contract. Don't forget an aircraft or any military equipment consists of a lot of "vendor" pieces, who all want a share of the "pie". Of course if a company has development costs ; such money will be rolled over in the price of the final product if the initial start up funding was insufficient, but could be part of the contract if the government wants such product and signs for it. Cost overruns are always covered in the contract anyway. Like the F35 which was contracted for around $200 million a piece and ended up at around $400 million when delivered. ( Note: Boeing reduced this price a bit because of "quantity discount" reorders by this government as well other countries who got this product pushed through their throats). Boeing never lost any money on military products. Neither do the shipyards in Norfolk.
Don't forget the "government" gets screwed all the time because they themselves have no knowledge what it takes to built any product. Also the "lobby" system always increases the "price" because they want to get paid as well. Don't forget that a lot of money is made in the "after sales" arena, for services and spare parts and service bulletins which have a lot of profit built in. Sorry but this government loves to get screwed, ask the Pentagon who still orders tires for WWII Jeeps.
Since this subject is about "economy" then the latest news should get our attention. China (who helped to finance our debt) does not want to buy any more of our Treasury Bonds. In other words they probably read the "book" ( ha ha). But as a serious note it means they actually are re-thinking their role in the world economics. The Dow dropped today because of it.
This certainly will have the attention in Davos (World Economic Forum) which Trump wants to attend. However he is not suited to go there because he does not know anything about "world" economics. ( He does not "read" nor studies" anything.)
Why do they have people terrified of "a central plan"? There is no planning based on suvivability of a nation. The only force driving our economy is profit motivation. Money is misused and people suffer and die because of inaccessible health care and it is accepted as que sera.
What caused the economic collapse of 2007 ? Wall Street gambling ? Too much bad debt , created in a period easy money , caused by the tax cuts granted by Republicans ? Dodd Frank regulations forced the banks to stop the feeding frenzy.
So the Republicans have removed the regulations and are allowing the banks to gamble again? Like they were doing in 1929 , selling bonds at such inflated rates that there is no actual value ?
We know how this ends. We know the market will crash eventually . The way we fund our government is by selling bonds . We sell them every Monday to finance our debt.
I believe the Republicans are trying bankrupt our government so they can destroy it and be rid of it . It's never been a secret . They intend to usher in a new era . An authoritarian government aligned with Russia and Putin. A one party government . The end of free press, a constitutional convention ,that they only need like two more states to call for will re write the entire law of America. Fascism is coming.unless we somehow can stop it , they fully intend to usher in fascism . The cowards are now running for cover , the rats are scurrying , but the snakes are ever defiant .
Maindawg, Dont forget that an economic downturn is also a huge windfall to the top 1%. Besides not losing a penny they will be able to swoop in and buy trillions for millions. The collapse (correction) is where the little people dutifully panic and sell/give away their holdings for pennies. These collapses are in no way not forseen. They are regular and counted on to transfer billions. And no, not one , politician is saying a thing about it. Remember, the actual real average of the DOW stocks is $118 / one hundred eighteen dollars. So why is the DOW industrial average 25000 ? Simply to keep getting money into the over valued market. The contrived DOW Average is over 200 times greater than the real average of the exact same stocks.
Inflation has been hovering around 2% so actual growth is around 1%. Wages still haven't budged much overall. Consumer debt is back up again.
So, no, I don't think that it is a great economy.