U.S. Economy Settling in for the Long Haul, Say Two Reports

U.S. Economy Settling in for the Long Haul, Say Two Reports by   for The New American

Two reports issued on Wednesday reveal a U.S. economy that is settling in for the long run despite headwinds that are slowing other economies around the world. The burst fueled by President Trump’s Tax Cuts and Jobs Act in 2018, which set records (and new highs on Wall Street), has moderated down to the pace of a marathon.

The National Employment Report issued by ADP showed that the U.S. economy added 102,000 new jobs in June while May’s number was revised upward by 14,000. This is off the pace from earlier in the year but still very strong, especially when compared to the world’s second-largest economy — China’s — which is shrinking. Even the New York Times admitted as much, declaring earlier this year that “China’s economy, by the numbers, is worse than it looks.”

ADP noted that the strongest part of the economy in June was the service sector, a finding that was confirmed by another Wednesday report from the Institute of Supply Management (ISM). The ISM reported that all of its major indexes remained well into positive territory for June: its primary business activity index — its NMI or Non-Manufacturing Index — was at 55.1 percent (113 straight months in positive territory), while its Business Activity/Production Index was at 58.2 percent (119 straight months in positive territory). Its New Orders Index was at 55.8 percent; its Employment Index was at 55.0 percent, while its Backlog of Orders was at 56.0 percent. ISM noted that all indicators were “growing” but at a slightly slower pace than in previous months. Anthony Nieves, ISM’s Business Survey Committee chairman, said these indexes “correspond to a 2.3-percent increase in real gross domestic product (GDP) on an annualized basis.”

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Rory Hall, The Daily Coin. Beginning in 1987 Rory has written over 1,000 articles and produced more than 300 videos on topics ranging from the precious metals market, economic and monetary policies, preparedness as well as geopolitical events. His articles have been published by Zerohedge, SHTFPlan, Sprott Money, GoldSilver, Silver Doctors, SGTReport, and a great many more. Rory was a producer and daily contributor at SGTReport between 2012 and 2014. He has interviewed experts such as Dr. Paul Craig Roberts, Dr. Marc Faber, Eric Sprott, Gerald Celente and Peter Schiff, to name but a few. Don't forget to visit The Daily Coin and Shadow of Truth YouTube channels to enjoy original videos and some of the best economic, precious metals, geopolitical and preparedness news from around the world.