.png)
Demand Up, U.S. Economy Shows Gains
 |
| Source: wwwthetimes.co.uk |
Nelson D. Schwartz, Aug. 26, 2014, Nytimes.com
The American economy is gaining renewed momentum, with data released on Tuesday suggesting strong demand by businesses for airplanes, machinery and other manufactured items, as well as rising confidence among consumers, despite a cooling in the housing market.
Overall orders for durable goods in July jumped by 22.6 percent, the biggest one-month increase since the Commerce Department began compiling this series of data in 1992.
That strength, though, was exaggerated by a huge surge in demand for airplanes made by Boeing.
Excluding the always-volatile transportation sector, core capital goods orders fell by 0.5 percent in July, but remain up more than 11 percent over the most recent three months on an annualized basis.
“The U.S. economy is on solid ground,” said Nariman Behravesh, chief economist at IHS. “Europe is struggling, Japan is struggling, but all of this suggests the U.S. is doing quite well.”Continue reading the main story
Europe has been hurt by the austerity policies in place across much of the Continent, he said, noting that growth essentially stalled in the second quarter. After a very weak first quarter, Mr. Behravesh estimates the United States economy will grow at a rate of roughly 3 percent over the remainder of 2014.
The American economy is gaining renewed momentum, with data released on Tuesday suggesting strong demand by businesses for airplanes, machinery and other manufactured items, as well as rising confidence among consumers, despite a cooling in the housing market.
Overall orders for durable goods in July jumped by 22.6 percent, the biggest one-month increase since the Commerce Department began compiling this series of data in 1992.
That strength, though, was exaggerated by a huge surge in demand for airplanes made by Boeing.
Excluding the always-volatile transportation sector, core capital goods orders fell by 0.5 percent in July, but remain up more than 11 percent over the most recent three months on an annualized basis.
“The U.S. economy is on solid ground,” said Nariman Behravesh, chief economist at IHS. “Europe is struggling, Japan is struggling, but all of this suggests the U.S. is doing quite well.”Continue reading the main story
Europe has been hurt by the austerity policies in place across much of the Continent, he said, noting that growth essentially stalled in the second quarter. After a very weak first quarter, Mr. Behravesh estimates the United States economy will grow at a rate of roughly 3 percent over the remainder of 2014.
Read the full story: www.nytimes.com
Follow Larry Elder on Twitter
"Like" Larry Elder on Facebook
No comments:
Post a Comment
Comment Policy:
The author of this blog will attempt to engage in conversation via the comments section whenever possible and recognize the 24/7 nature of the internet. Moderating and posting of comments will occur during regular operational hours Monday through Friday. Comments submitted after hours or on weekends will be read and posted as early as possible, however admins and/or the author is unable to commit to replying to every comment posted.
This is a moderated blog. That means all comments will be reviewed before posting. In addition, it is expected that participants will treat each other, as well as the author and admin, with respect. Comments that contain vulgar or abusive language; personal attacks of any kind will not be posted. Comments that are spam or that promote services or products will not be posted. It is requested that all comments remain on topic.
The Elder Statement blog does not guarantee or warrant that any information posted by individuals on this blog is correct, and disclaims any liability for any loss or damage resulting from reliance on any such information. The Elder Statement blog may not be able to verify, does not warrant or guarantee, and assumes no liability for anything posted on this website by any other person. The Elder Statement blog does not endorse, support or otherwise promote any private or commercial entity or the information, products or services contained on those Web sites that may be reached through links on our Web site.
To protect individual privacy and the privacy of others, please do not include phone numbers, addresses or email details in the body of a comment. Such information will result in removal of a comment.
Thank you for your attention.
The Elder Statement