Some pessimistic analysts have been warning about the possibility of a
double dip recession this year. This means that the GDP could possibly
exhibit growth in the first quarter or two, and then dip to a negative
number later in the year. These analysts state that the current growth we
have been seeing in the GDP numbers, as well as other economic reports,
like the ISM report and the durable goods orders, come primarily from an
inventory replenishment. Ultimately, consumer demand will have to continue
at strong levels in order for us to see a continuance of economic growth.
We saw a hint this week that some economic activity may be slowing down, as
factory orders came in slightly below expectations.
double dip recession this year. This means that the GDP could possibly
exhibit growth in the first quarter or two, and then dip to a negative
number later in the year. These analysts state that the current growth we
have been seeing in the GDP numbers, as well as other economic reports,
like the ISM report and the durable goods orders, come primarily from an
inventory replenishment. Ultimately, consumer demand will have to continue
at strong levels in order for us to see a continuance of economic growth.
We saw a hint this week that some economic activity may be slowing down, as
factory orders came in slightly below expectations.