You can't make this up.....Bob Pisani writes this headline this morning....."More stimulus coming after Japan GDP shocker?"
People need to wake the fuck up and realize enough is enough with the stimulus....it's not the way you fix any broken economy, the US economy is broken from the trillions of stimulus it has pumped into the system but you don't realize it yet....you don't fight a recession with more debt and free money and QE and tarp and everything else they throw at the market, you don't fight a recession at all, you let the cycle run its course and allow the recession to take place even if it means years of negative gdp and zero job growth...they all fail to understand this which will leave to greater consequences in the end. Just sit back and watch because it's going to happen.
More stimulus coming after Japan GDP shocker?
Bob Pisani |
@BobPisani
23 Mins AgoCNBC.com
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Halliburton-
Baker Hughes deal went through. It was Japan GDP going negative—for the second straight quarter.
I don't know what you call GDP coming in negative 1.6 percent for the quarter when the consensus was growth of 2.1 percent, but it certainly is a shock. That, following a 7.1 percent fall in the second quarter! The first quarter showed an increase of 6.7 percent.
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Japan shocks as economy slips into recession
The second planned sales tax hike is now unlikely to happen. More importantly, Prime Minister Shinzo Abe is not going to declare Abenomics a failure; if anything this will likely accelerate demands for even more monetary easing.
According to Davy Research, the bulk of the decline was caused by business destocking, a temporary response to the dip in consumer spending in the second quarter.
Maybe. But Japan is a big producer of machinery used in Chinese factories. That is stoking some concern that China may have slowed down its order rate, raising questions about China's 7 percent GDP.
Remember Abe's "three arrows": fiscal stimulus, monetary easing and structural reform. He hasn't done much with his "third arrow" to make it easier for foreign and domestic entrepreneurs to open new businesses. You will likely hear more about that.
Also in Asia, the much-discussed Shanghai-Hong Kong stock exchange link went live Sunday night. David Friedland at Interactive Brokers Hong Kong office said trading appeared to have gone off without a hitch.