BIDEN ECONOMY: Durable Goods Stagnate, Manufacturing Index Drops Far Below Expectations
Nearly every indicator of the economic performance of America is in or is moving in the wrong direction. This is Biden’s America.
Last week, the Manufacturing Index showed decreases that the country hasn’t seen since the COVID shutdowns:
US Manufacturing PMI fell dramatically to 52.4 in June 2022 from 57 in May. This drop is well below the market and economic expectations of 56, and now points to the slowest growth and steepest drop in factory activity in almost two years. Contractions in output and new orders are pushing the index down.
Production and new sales declined for the first time since the depths of the pandemic in mid-2020 driven by weak consumer demand. Inflation and a drop in wholesale and retail purchases have lowered purchase orders. The gears inside the economy are slowing to a halt.
These numbers were horrible and unfortunately there are no signs of getting better. Breitbart reported on this yesterday:
Orders placed with U.S. factories for durable goods rose more than expected in May, indicating that inflation is still riding high on strong demand despite Federal Reserve efforts to tame prices.
The Commerce Department said orders for durable goods—items meant to last at least three years increased 0.7 percent in May after a revised 0.4 percent rise a month earlier.
That was stronger than the 0.1 percent gain expected by analysts surveyed by Econoday.
Much of the gain, however, was likely due to inflation. The orders data are not adjusted for inflation, so a monthly rise can represent either a real increase in goods ordered or a rise in the price of goods ordered. If prices are rising faster than real goods ordered, the Commerce Department’s data would show an increase despite factory output falling.
That appears to be what happened in May. The Federal Reserve reported last week that real durable goods production by U.S. factories fell 0.2 percent.
Biden’s economy has much inflation that makes it look like sales are up but they are really down and look up because the price of goods is increasing dramatically due to inflation.
This is Biden’s economy and it makes no sense. All Biden would have to do is go back to President Trump’s policies of energy independence and this all would be solved. Instead, this corrupt politician appears to be doing everything he can to destroy America.
Biden and his family and gang are sick.
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