Originally Posted by agoodfella

Less than 1% growth (even if it is positive) is not a good sign. We registered 0.6% in 4Q 2007. Estimates range from 0.6-0.9% for 1Q 2008.

But with the word "recession" coming up just about everyday, these things tend to become self fulfilling prophecies. Look at consumer confidence, look at jobs (this was the 5th consecutive quarter of job declines). Companies are not hiring. Companies are not expanding, investing. Add to that the fact that the sub-prime crisis has effectively shut down access to leverage to those consumers who need it the most. Worse still, its anyone's guess how much bad debt is still lurking in the system waiting to rear its ugly head.

Assets? The housing market is in deep trouble. The stock market tends to be roughly 6 months ahead of the "real" economy and this Friday's session points to a troubling road ahead. Add to that the surging oil prices which have the "pass through" inflationary effect for everyday purchases...

If we aren't "officially" in recession that's little solace when you take a good hard look at the grim picture out there.