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In January, the Q1 GDP, we were breathlessly told, would rise about 2.6%? Well, the final Q1 GDP revision is in: -2.9%. That’s well below the -1.8% expected and it’s the worst since Q1 2009. The big driver was a collapse of personal consumption expenditures — from 3.1% to just 1.0%.

Oops.

GDP in the US hasn’t fallen more than 1.5% save for before or during a recession since they started recording GDP quarterly in 1947.

Oops.

This is what you get when you keep letting banks artificially inflate the economy. Eventually, the bubble pops…

GDP Q1 LT_1

GDP final revision

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