GDP growth for the third quarter is out and I can see little to indicate that growth is improving despite tweets to the contrary from the White House.
Nominal GDP is growing at just over 4 percent per year, continuing the narrow band established since late 2010. Growth closely follows our monthly estimate: total weekly hours worked multiplied by the average wage rate.
Real GDP, beset by problems in accurately measuring inflation, grew by 2.3 percent over the last 4 quarters. But growth remains relatively soft and our latest monthly estimate (growth in total weekly hours worked) slowed to 1.2 percent in September.
The S&P 500 powers on, climbing to a new high of 2581, while rising Twiggs Money Flow signals buying pressure.
Retracement of the Nasdaq 100 successfully tested its new support level at 6000, confirming a fresh advance.
Bellwether transport stock Fedex is advancing strongly while a Twiggs Money Flow trough above zero suggests strong buying pressure. A bullish sign for broad economic activity.
Stage 3 of the bull market continues.
It was never my thinking that made big money for me. It was my sitting…Men who can both be right and sit tight are uncommon. I found it one of the hardest things to learn.
~ Jesse Livermore