United States

By Nicholas Colas of Convergex

Last Time US Stocks Were So Expensive, This Happened

Via Michael Snyder of The Economic Collapse blog,

President Trump is due to deliver remarks aboard the not yet commissioned super-carrier U.S.S. Gerald Ford, docked at Newport News, Va. The focus of his speech is expected to be promote his vision and plan for the nation's military buildup.

During the campaign he promised a surge in military spending as part of his campaign to make America great again. This week, the White House announced it would be adding $54 billion (£43 billion) to the defence budget – about a 10 percent increase.

Donald Trump may soon find himself on the receiving end of a "visa war" that could have dire consequences for trans-Atlantic travel and European tourism. On Thuesday, EU lawmakers voted to force Americans to apply for visas when traveling to Europe in response to Washington refusing to allow all Europeans to travel to the States visa-free.

Can Truth Prevail?

Paul Craig Roberts

According to official US economic data, the US Gross Domestic Product (GDP) has expanded for 22 quarters, raising real GDP 12.1% above its high prior to the 2008-09 economic contraction. Yet, US manufacturing output and US industrial production have not recovered to their pre-contraction high.

So what is driving the real GDP growth? In my opinion, the rise in real GDP is an illusion produced by the under-measurement of inflation.