Wells Fargo Economics Group Forecasting GDP Growth Rate of 1.8 Percent This Year

In their “Monthly Outlook” the Wells Fargo Economics Group is forecasting GDP growth rate of 1.8 percent this year and 2.3 percent in 2017. These forecasts have been lowered slightly from prior forecasts.

Growing concerns about slowing global economic conditions have caused businesses, policy makers and investors to become more risk averse.”

Even the Fed is now waffling on further interest rate increases as global economic weakness and weakness at home dims the chances for that. (The Fed should have moved to increase rates years ago. RB)

In my view we will not see a change from the sluggish growth pattern we have been in without a change in Washington and I am not talking about “the Bern”. A continuation of current policy will be devastating. A change to a conservative and therefore a business friendly leader in the White House will take a year to effect change, though such a change will immediately affect the thinking of businessmen, policy makers and investors as described above, changing our trajectory to a positive one.

US Raw Steel Production Rose Last Week

US raw steel production rose 1.7 percent last week as mills operated at an ACUR of 71.9 percent. In the corresponding week last year mills operated at an ACUR of 72.4 percent. On the year mills have produced approx 9.7 million tons at an ACUR of 68 percent. In the like period last year mills produced approx 10.7 million tons at an ACUR of 74.4 percent. American Metal Market

Income Inequality

The attacks on the “1 percent,” Wall Street and the large banks are foolish. The struggles between the so called elite, the middle class and the poor have existed for hundreds of years, as I have said before. Only when you have a vibrant economy with good paying jobs (meaning we have to actually produce things) can you provide the poor an opportunity to rise above it and the middle class the opportunity to enjoy the fruits of their labor with higher wages etc.

New Hampshire 2016 Primary Outcomes

Donald Trump handily won the New Hampshire primary on Tuesday, John Kasich rolled in at second place, Rubio, Bush and Cruz behind them. Chris Christie and Carly Fiorina have both suspended their campaigns. Ben Carson, still in the race, languished at the bottom, though he expects a much better showing in South Carolina.

Bernie Sanders beat Hillary Clinton by 20 points, a number her campaign did not wish to see.

International “Relations”

Thursday’s news showed video from Iran in which they mocked the capture of our sailors last month. Parading bad actors as our sailors, parading through the streets, signs everywhere proclaimed “down with America” and other nonsense. Yet the administration continues to deal with these animals. I just don’t understand the endless capitulation and I think it is wrong.

North Korea fired another missile, supposedly carrying a satellite but experts say this technology is capable of firing a nuclear weapon which can reach the United States. Congress is currently working to impose new sanctions on the regime there and I hope they impose them quickly. Why do we continue to let these dirtbags walk all over us? Why? They are a threat to humanity and must be stopped.

The West is warm and continues to be dry while the Midwest and Northeast are going into a deep freeze over the next few days. Stay warm and cozy.

My short vacation is over and I will be traveling from the mid 70’s and sunshine to around 9 degrees on Saturday, brrrrr.

Have a great weekend.
God bless America