The big-government radicals tried to spend their way out of a recession.
The US 2nd Quarter GDP was revised downward today from 2.4 to 1.6 percent. This caused renewed fears of a double-dip recession.
The sputtering economy may be headed for a double-dip recession after the government revised the nation’s gross domestic product downward for the second quarter to 1.6 percent from an initial estimate of 2.4 percent.
The first quarter grew at a 3.7 percent annual rate, the second quarter 1.6 percent, and this quarter is not likely to be anything worth bragging about, with economists forecasting growth of only 1.7 percent. GDP is the value of all goods and services produced in the U.S. and it’s the key indicator of the nation’s economic health.
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The numbers are numbing — not nearly strong enough to give the recovery enough stride so that employers will want to hire, consumers will have the confidence to spend, or for businesses to invest robustly in equipment.
Investors will be paying close attention to the Kansas City Fed’s economic symposium in Jackson Hole, Wyoming. Fed Chairman Ben Bernanke is expected to speak on the US economic outlook and policy response at 10:00 am ET.