CEA Chairman Kevin Hassett Discusses Strong Outlook for 4th Quarter GDP….

If you’ve followed the MAGAnomic discussion threads you will likely appreciate this interview much more than the typical Fox Business viewer.

In this interview White House Council of Economic Advisers Chairman Kevin Hassett discusses the recent rise in retail sales and why he is optimistic about GDP growth.

Additionally, at the 03:00 point of the interview he is questioned about the disconnect between the exceptional growth in the U.S. economy -vs- the current status of the Wall Street stock market.  Hassett points directly to the ‘multinational‘ disconnect.

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Via Commerce Dept – “Advance estimates of U.S. retail and food services sales for November 2018 were $513.5 billion, an increase of 0.2 percent from the previous month, and 4.2 percent above November 2017. Total sales for the September 2018 through November 2018 period were up 4.3 percent from the same period a year ago.”

Two-thirds of U.S. GDP stems from U.S. consumer sales. Growth of more than 4% year-over-year is excellent and forms the basis for the increases in forecast GDP.

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This entry was posted in Economy, media bias, President Trump, Trade Deal, Uncategorized, US dept of agriculture, US Treasury, USA. Bookmark the permalink.

63 Responses to CEA Chairman Kevin Hassett Discusses Strong Outlook for 4th Quarter GDP….

  1. Leucotheahints says:

    Housing is soft because the economy was too strong. People parked their money in stocks and don’t want to pay tax when they pull it out for down payment. Higher rates hurt sales a little.

    Liked by 6 people

  2. Vor Daj says:

    We are so lblessed that Barack Obama set all this good economic action in motion right before he left office. That’s what CNN says, so it must be true.

    Liked by 12 people

    • Deplorable_Infidel says:

      “he left office”

      If HRC had “won”, things would have just continued to get worse. With him and ValJar right down the street, it would have been like he never left. I hope he finds consolation in those puffers because I do not think history is going to be kind to him – and he will live to see what a failure he really is.

      Liked by 12 people

      • Pyrthroes says:

        We have developed a normally distributed, historically objective –meaning substantive performance over charismatic celebration– that rates 41 out of 44 incumbents on a tripartite scale, sorted accordingly by quintile ranks. The missing three (3) are W.H. Harrison (9), Zachary Taylor (12), and James Garfield (20), all of whom died within months of their inaugurals.

        Note, by the way, that one can count either N individual incumbents or 58 four-year terms from 1788, but not consistently both. Because most commentators confuse this fact by double-counting Grover Cleveland, who as Incumbent 22 served two non-consecutive terms, all Presidents from McKinley on are typically mis-numbered by one (1). On this basis, Gangrenous was not Incumbent 44 but 43, so that Trump is not 45 but 44.

        Anyhoo… of the 41 rateable incumbents, Soetoro (registered by his adoptive Indonesian Muslim name In mid-2017 for DC property-tax purposes) at CCC ranks absolute dead last, in company with Andrew Johnson (17) and W.J. Clinton (41) at E1A and E2B respectively. John Tyler (10), Franklin Pierce (14), and James Buchanan (15) rank CCB, a tier above, because these disgraced the office by incompetent default-of-duty while Gangrenous’ triple cohort actively betrayed the public trust.

        Liked by 2 people

        • Disgusted says:

          It would be great if I could understand anything you have written here, but I cannot figure anything out as a conclusion or what you want readers to take from it. Gangrenous is easy to identify plus several former Presidents by their initials, but could you just say it out loud here? What are you telling us?

          Liked by 2 people

          • The Tundra PA says:

            Pyrthroes is using a lot of research language to say that if you measure actual performance (not media worship) of the 41 Presidents who were in office long enough to actually do something, Obama ranks in last place, along with Andrew Johnson and Bill Clinton. Franklin, Pierce and Buchanan were slightly less bad. I wonder where Jimmuh Carter came in. And Woodrow Wilson. And FDR.

            Liked by 1 person

        • tomf says:

          WAY off topic.
          A true word salad.

          Liked by 2 people

      • Mark Hudson says:

        We’d be on QE 6 or 8 by now with a negative interest rate.

        Liked by 2 people

  3. MakeAmericaGreat says:

    Nothing beats a happy warrior, and Hassett is one of the happiest.

    As Sundance has said, the Dow will get pared as the multinationals feel the effects of Trump cleaning up the USA’s trade imbalances. Will take time to adjust.

    Trillions at stake. That’s why The Establishment hates him. He’s ruining BIff’s fake billions, and the fake billions of Biff’s son and Biff’s grandson. Bluebloods are outraged.

    Liked by 20 people

    • treehouseron says:

      I’ve got money in the market, the way I see it is the b.s. that the stock market has been based on for years is being replaced by solid, shored up reasoning for investing. So i’m not worried about it long term. I think the day will come when investing in a company will make sense again, whereas right now it’s basically like playing the lottery.

      Liked by 14 people

      • MakeAmericaGreat says:

        Totally agree, Ron, and well said.

        Better times should be coming. As long as the Dem House doesn’t try to hold off on approving the pending treaties.

        Trump has pretty much wrecked the global economy (China), and for good reason. And that’s why China (and the EU) is more ready to make a deal now.

        China wants to get a deal done, that seems clear. We just need to get that wrapped and make sure that the Dem House, if they’re involved. doesn’t try to kill the deal.

        Also, no more arrests like the Huawei one which could be attempts to sabotage such a deal from getting made.

        Liked by 4 people

        • 3rdday61 says:

          This is only the beginning folks!
          With what I see and what I know(I’m approx 57.95 yrs old), I can honestly say that this economy is not even warmed up yet.

          ‘…Eye has not seen, nor ear heard the things that God has prepared for those that love him…’ 1Cor. 2:9

          Satan(the prince of the power of the air) through his tools(losers) in the MSM(children of disobedience), relentlessly pummel the good people of our great country with nonstop negativity. The bad news for the losers is that GOOD overcomes evil. And baby, there’s so much good in the pipeline that the MSM will be forced to cover it. I’m talking about no BS, straight up, God is my witness, hand on a bible(KJV) GDP of 10% within 12 months. I am going to spell this process out so simply(I hope), that a even a college educated liberal will be able to understand it. Just give me a couple days to finish writing it up.

          The overabundance of cold anger surging through the veins of patriots is palpable and MUST be addressed!!! The ‘evils are becoming insufferable’ and the ‘long train of abuses and usurpation’ are wearing mighty thin. I PRAY that this can be accomplished in a peaceful manner. We can meld this cold anger into white hot prosperity. Trust God.
          God does not wish that any should perish.

          To be continued.

          Liked by 5 people

        • Dennis Leonard says:

          You did read what Flep said,if they do not approve of USMCA,than President Trump starts the 6 month pull out and we go back to as it was before NAFTA and Huawei is a nothing..

          Liked by 1 person

          • Jake says:

            yup… The House has no say in this deal and the Senate can’t stop it. There will still be posing and posturing. It’s getting old but that’s life with the MSM around.

            Liked by 2 people

      • Dan Rogers says:

        Agree as well, Ron. Placing our bets on actual performance rather than other wagers is sound long term.

        Liked by 1 person

      • CaptainNonno says:

        So right!

        Like

    • duchess01 says:

      I love how he smiles as he is reporting – even when it is a little on the ‘down’ side – he is full of enthusiasm and comfort – gonna call him ‘Happy Hassett’ – so refreshing – he is – 🙂

      Liked by 3 people

      • PVCDroid says:

        The down side is the media. You can tell they are so depressed to hear good news from the Trump administration. The financial and economic news over the past couple months has been what’s driving the market down. I’ve never seen so much negativity.

        They are trying to separate Trump from his base and lower his approval numbers. It isn’t working. I don’t know how this can continue. Much of the financial and economic news lately has had a seriously negative spin to it. I think the higher ups are putting pressure on the anchors to portray a dismal outlook. They think that will rile up Trump and make him mad.

        The public has got to be getting pissed off with all this nonsense by the media and I’ll include Fox as well. Even if you’re a liberal you’ve got to be thinking the majority of what you’re hearing is suspect. Lowering the amount of my news intake has a direct correlation to my happiness lately.

        Liked by 2 people

        • duchess01 says:

          I am looking forward to the day when we have a ‘Real Press’ in America – not one so controlled it has become ‘the enemy of the people’ – have not watch TV news since January of 2008 – as far as the snippets to which I listen here – I ignore what the interviewer says – and absorb the facts – 🙂

          Liked by 1 person

      • MakeAmericaGreat says:

        He is great!

        Like

  4. treehouseron says:

    If you missed it three months ago, Kevin Hassett took real umbrage when Obama claimed that he was the one who turned the economy around. So he gave a press conference, proving, with charts and statistics, that Obama was full of Sh**.

    Liked by 24 people

    • treehouseron says:

      “I think that if anyone were to assert, that the capital spending boom that we’re seeing now, was a continuation of the trend that President Trump inherited…well, um…. they wouldn’t get a high grade in graduate school for that assertion.”

      “If you were going to assert that the current good news is just the extension of a recent trend then you’d just be simply factually incorrect.”

      “the notion, again, that someone might defensively attempt to assert that this is the continuation of a trend, is almost laughable if you look at this chart”

      LOL President Trump even has his statisticians going hard on Obama too.

      Liked by 12 people

      • CaptainNonno says:

        What ever happened to canceling the old NAFTA?

        Like

        • lanahi says:

          Didn’t Trump say that was cancelled? He said there was a choice to either go back to the pre-NAFTA state with no treaty at all or to accept the new one and that it was okay with him either way.

          There is one thing I like about the new treaty: Most parts going into items being traded between us and Canada and Mexico have to be manufactured in the US, Canada, or Mexico, and not China or elsewhere. Seems like that would help all three of us.

          Like

    • jeans2nd says:

      Hassett also took down the Council of Foreign Relations a couple three months ago, making fools of every one of the CFR’s “economists,” smiling and laughing at them the entire time. Was glorious to see.
      Never argue in the weeds with Kevin Hassett.

      Liked by 4 people

    • duchess01 says:

      Who is that guy? Never heared of him – are you talking about that lazy, squatter guy?

      Like

  5. Mo says:

    We have a truly amazing economic team being led by Our President, and I have a new twitter feed to follow Yay. Happy Friday I’m Looking forward to economy of scale coming into form for U.S. producers, and transportation infrastructure efficiencies growing to really get Our GDP screaming.

    Liked by 8 people

  6. Ghost says:

    Observations from a smaller limb.

    PDJT has put together an all star team for the economic battle and we are winning bigly. I have always believed this economic battle is the truly important part of defeating the globalist/ socialist plans for the destruction of America.

    My opinion is this economic recovery is just getting started. I also project that housing is as in previous recoveries going to be the last sector to take off. But that should begin in earnest this coming year.

    Wining big time.
    Huge smile!

    Liked by 3 people

    • Dutchman says:

      “I have always believed this economic battle is the truly important part of defeating the globalist/socialist plans for the destruction of America.”

      I figured that out, from reading Sundances dissertations on Trade, China, MAGA nomics, exfiltration of wealth.

      Reagan did it with U.S.S.R. (defeated without firing a shot, by forcing them to compete, ECONOMICALLY) and VSG is doing it with China.

      And I agree on the economy, although I personally think we could stop referring to it as a ‘recovery’ some time ago, WE AIN’T SEEN NOTHING, YET!

      Liked by 2 people

  7. Donna in Oregon says:

    Hassett is a cool dude

    Liked by 6 people

  8. GB Bari says:

    I’ll bet Hassett’s observation at the end about the multinationals went right over the heads of most of fox’s viewers.

    IMO he was correct, but too subtle by not specifically drawing the comparison between investments in domestic stocks versus the market averages that are whipped by the multinationals.

    Liked by 4 people

  9. Dutchman says:

    So, is it possible that as we make the shift from wall street to main street, stocks of American companies, that actually MAKE something, will show solid, steady gains.
    Whereas stocks of multinationals, and banks playing with derivatives, will show volotility, due to all the playing?

    Put another way, COULD tell whether a stock is wall or main, JUST by looking at its performance?

    Over time, will stocks of companies that actually make something, be viewed as ‘more desirable’ than stocks of companies in sillycon valley, or BIG banks?

    Liked by 2 people

  10. Rynn69 says:

    President Trump – A Lion of a Man. Keep going, Mr. President. We support you as you are we. The media can try all they want to cause a bridge between you and your supporters, but it ain’t gonna happen. No way.

    Liked by 3 people

  11. Great article by Rex shedding some light on France’s Yellow Vest protests. He says France has not seen economic growth over 2% in 50 years! Half the citizens earn less than $2k/month. 25% youth unemployment. Top 1% have lots of wealth, and the elite are promoted at very young age, from a very few elite schools, to top corp and gov’t positions. So the leaders of the country are impressionable yet not experienced/hardened by reality.

    My first thought was, this sounds like Obamanomics, and Hillary would have sustained that trajectory. MAGAnomics is more fun for an economist to discuss, as can be seen in Hassert.

    Liked by 2 people

    • MAGADJT says:

      Part of the reason for France’s unemployment for younger people, is the government mandated benefits, like the large amount of vacation. If I’m not mistaken workers get almost 2 months, although I could be wrong on that. Companies can’t afford to hire new workers when their productivity is going to be so low.

      Like

  12. I’ve been looking to shift into a MAGA portfolio, so my IRA can get on the Trump Train too. But no luck. Any thoughts in the Treehouse?

    Like

    • wodiej says:

      Anything that is profitable right now you can invest in.

      Liked by 1 person

    • Darthawk says:

      The morning after the election, while Krugman and other liberals were predicting a recession, I made the largest stock investment of my lifetime. In an effort to make a Trump play, I purchased a Small Cap Index fund. The fund has performed extremely well, far outpacing the S&P 500. Because these are publicly traded companies, the Fund still is focused on fairly large companies (not Mom and Pop stores on Main Street). However, the Fund does not include multinational giants.

      Three rationales – the first two repeatedly elaborated on by Sundance. First, Small Cap companies tend to generate the vast majority of their revenue domestically, whereas Large Cap stocks often rely equally on domestic and foreign sales. Second, Small Cap companies tend to incur more costs (on a percentage basis) than Large Caps. For example, if a worthless Government Regulation requires one dedicated employee for Reg X, it is a much greater burden on a company with 1,000 employees than a company with tens of thousands of employees. Third, based on long term historical returns, under Democratic Administrations, Large Caps usually out-perform Small Caps; under Republican Administrations, the opposite is true.

      Liked by 2 people

      • Thx Dart for the great suggestion, backed by sound reasoning. I sincerely appreciate that you made the effort to share your experience. I’m definitely moving part of my pile from large cap into a Small Cap Index fund.

        Like

    • Athena the Warrior says:

      Seems like steel, aluminum would be good, long term investments. Oil and gas which are more volatile but this is for a long term play, but I’m not a broker. It just makes common sense to me.

      Liked by 1 person

  13. wodiej says:

    Fewer regulations, more production. More production, more jobs. More jobs, more money to spend, invest in 401k’s and health insurance. It’s called capitalism.

    Liked by 2 people

  14. MAGADJT says:

    Sundance – When do you expect the stock market to re-couple to the main street economy, at least loosely? If the market is set up to only do well when the US economy is stagnant, then what good is it? Unfortunately it is the main vehicle most of us have for retirement.

    Liked by 1 person

    • MAGADJT: May I venture an answer to you as a professional trader? (Sundance I ain’t)

      To quote Hassett in today’s video: “It’s really hard to say why the market did anything today” Well, that is actually correct. On any given day any number of things move a market with or against the general trend. Institutional portfolio positioning, profit taking, news responses (more on that later) – there are to many to number here. Remember the traders axiom: “One day does not a trend make”.

      Hassett goes on to say “…the medium term what matters is economic growth” Right again. Growth here is robust, growth globally is anemic. Let me interject here that I think we are being taught a lesson by our betters. Globalists control so very much and it would be very easy for them to pound US Equities in the near term to “teach us all a lesson on trade” .

      While I’m on manipulation lets talk about “Algo Trading”. Computers can now read headlines and execute trades based on those headlines. Can you imagine the code writer geeks telling the news desks which words will excite the trading computers the most and and the news desks barraging the wires with said headlines? It’s a total scam!! The good news is that after the “news” the market will seek equilibrium again in spite of the knee jerk spasm.

      Now to your question. In time this market’s value will match growth and earnings. In time- not soon. If you are trying to compound your savings at a rate greater than the burden of dollar devaluation (inflation) and taxes and can pick growth opportunities with discipline, research, and critical analysis, and and with the same control your emotions as the market oscillates you can win the retirement game.

      I suggest the book that taught Warren Buffett how to invest as your first discipline: https://www.amazon.com/Intelligent-Investor-Definitive-Investing-Essentials/dp/0060555661
      Next read William O’Neal https://livepast100well.com/how-william-oneal-revolutionized-investing/
      DO NOT invest on rumor or news or hunches- it’s all fake. Treat your retirement management like a full time job. Do your homework. Put in the time. Don’t take shortcuts. You can win.

      I trust this post with the lessons I have learned over years of hard knocks and experience will be of value to you. Go with God!

      Liked by 3 people

      • ltravisjr says:

        I essentially agree with all of this. However, I don’t manage my retirement as a full time job. Call me lazy, but I am in funds diversified out the wazoo, domestic, international, small, large…everything. I set it and forget it, and don’t plan to do much rejiggering until I am a few years away from retirement and have to be more cautious. That has been the strategy preached time immemorial, and I hope and expect that such preaching has come from paradigms that are still valid and will continue to be so. Agree or disagree???

        Like

        • Fund values are market AND management driven. A lousy manager can wreck a fund with a great track record. I have seen many examples over the years when some leftist ideologue takes over a fund and runs it into the ground. So much for set it and forget it.

          Bottom line is this: NOBODY will watch your money as closely as you will- so do the hard thing and become an expert. It pays.

          Liked by 2 people

      • Gregory Jenkins says:

        I want to thank you for taking the time to try and help a stranger.

        Liked by 1 person

      • lanahi says:

        Wall Street is still driven by optimism/pessimism, so the news still drives the markets. Isn’t that the one single factor involved? So the markets rose when Trump was elected, but only after a short downward streak that night when everyone was first in shock. Did they rise or fall after the midterms? They go up if there is progress on treaties and trade negotiations, down with this and that. Since the news is so manipulated, it’s no wonder there are wild swings. All that would still make it easy to crash the market, I would think. How much is Wall Street still dependent on who has the most convincing memes?

        Also, if giants like Facebook start sliding, that affects the overall picture, even if others are heading up, right? Aren’t the stats just averages across the board?

        Like

  15. LOVE this guy Hassett!!! He is super bright, pure in logic, unapologetic about his conclusions, kind to the idiots who interview him, and “keeps his cookies on the bottom shelf” as an old philosophy professor pal of mine used to say.

    What a breath of fresh air compared to the self absorbed egg heads on CNBS.

    Liked by 3 people

  16. jeans2nd says:

    Gee wiz, those economic numbers from the Commerce Dept are just like the numbers from so very long ago, circa the 1960s and 1980s, iirc. If this keeps up, we could be back on track faster than even we imagined.
    Who’da thunk it?

    Like

  17. Stillwater says:

    Economic growth is going ‘according to plan’, says Kevin Hassett – CNBC – 12/12/18

    Liked by 1 person

  18. Gregory Jenkins says:

    Great news…

    My question being what is the worth of money without FREEDOM or a COUNTRY for that matter. The founders of this great nation set aside donated or lost in some cases all of their inherited or hard earned wealth to establish this Great Nation. I haven’t the time to worry about the future of my finances knowing the desperate situation I find this country in today. I will close with this TO EACH HIS OWN.

    Like

    • Stillwater says:

      “My question being what is the worth of money without FREEDOM or a COUNTRY for that matter.”
      ________________________
      To answer your question, money is still necessary whether or not you have freedom or a country. The economic numbers/outlook Kevin Hassett is referring to, represents the growth of the main street(domestic) economy.

      The two economic engines:
      – Main Street economy (domestic, worker class, economic nationalism)
      vs.
      – Wall Street economy (multinational corporatism, investment class, globalism)

      The increased growth of the Main Street economy represents:
      …more money in the pocket of the average American vs concentrated in the hands a the few globalists.
      … more money for individuals(to survive and feed their families) and local and state groups to influence government and less money for the globalists wall street lobbyists to influence government. Which means politicians will be more influenced by their own countrymen vs. multinational interests.

      The Wall street, multinational globalists are the ones who do the most to undermine our morals, freedoms and country. Hence, the little bit of good news of this report.

      Liked by 1 person

      • Gregory Jenkins says:

        I understand completely what he is saying but ty for your time in explaining things to me. I do appreciate it sincerely. However, if it is important to have it in your opinion please understand it will all likelihood be taken away under a Communist regime. What I am saying is that if we continue on the path we find ourselves on today or devolve into civil conflict is that it is my opinion we will not come out of it FREE. I am willing to forgo my money to support FREEDOM in America and in present day help my Brother’s and Sisters from the military and law enforcement who are suffering so much more severely than I.

        Liked by 1 person

  19. Stillwater says:

    True. Communists, if they had their way, would try to take away everything and have total control of people’s lives. Part of the genius of the founders and the constitution(checks and balances, states vs. federal, etc.) was to try to spread power as much as possible so that it isn’t as concentrated in the hands of the few. But even the founders recognized that our country wouldn’t survive without moral people.

    Socialism/communism and corporatism/fascism both fall under the category of collectivism where the few in control have all the power. The individual has little protection.

    Our constitutional republic is the best we have so far for protecting the individual’s freedoms (religious, economic, etc.)

    One of the things the collectivist groups do is they displace or take away the ability of individuals’, churches’, or local groups’ ability to help each other through direct charity. The collectivists in turn take most of the resources from the individuals and redistribute it(while taking their own cut) as they see fit and call it “charity”, which is really a form of control. So the collectivists attempt to break the bonds of family and community, making themselves the replacement.

    I see economic nationalism not as forgoing either money or charity, but placing more money into the individuals hands with which to they can do what they want. Helping their themselves, their families, their church charities, supporting freedom causes, or even giving a larger portion to those they see in need. Whichever way we choose, a bigger paycheck helps. I guess I see a thread in all of these topics that connects or ties all of these topics(money, economics, charity, family, morals, form of government, etc.) together.

    But I do see your points and concerns.
    Good conversation. 🙂

    Like

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