Kathianne
07-30-2016, 09:09 AM
I read this a couple days ago sort of filing it away to look at as economic news came out. http://fortune.com/2016/07/27/restaurant-recession-america/
America Looks Like It’s Headed for a ‘Restaurant Recession’ by Chauncey L. Alcorn (http://fortune.com/author/chauncey-l-alcorn/) <time class="article-byline-time article-byline-item" itemprop="datePublished" datetime="2016-07-27 04:02:42" pubdate="" style="margin: 0px 30px 0px 0px; padding: 0px; box-sizing: border-box; font-size: 15px; -webkit-font-smoothing: antialiased; color: rgb(130, 130, 130); display: inline-block; font-family: "Helvetica Neue Medium", helvetica, sans-serif; text-transform: uppercase; line-height: 1; width: auto;">JULY 27, 2016, 4:02 PM EDT</time>
<time class="article-byline-time article-byline-item" itemprop="datePublished" datetime="2016-07-27 04:02:42" pubdate="" style="margin: 0px 30px 0px 0px; padding: 0px; box-sizing: border-box; font-size: 15px; -webkit-font-smoothing: antialiased; color: rgb(130, 130, 130); display: inline-block; font-family: "Helvetica Neue Medium", helvetica, sans-serif; text-transform: uppercase; line-height: 1; width: auto;">
</time>
It seems like no one wants to eat out when the world is in chaos, and one analyst says the U.S. is headed for a “restaurant recession.”
After downgrading 11 restaurant stocks on Tuesday, Stifel, Nicolaus & Co. analyst Paul Westra predicted a major downtown will soon hit, fueled by “U.S. politics, terrorism, social unrest,” and a resulting economic uncertainty, which is usually a sign of worse things to come.
“We warn investors that restaurant-industry sales tend to be the ‘Canary that Lays the Recessionary Egg,'” he wrote in a report.
...
Obviously it didn't gather dust: http://www.cnbc.com/2016/07/29/gdp-us-economic-growth-is-close-to-zero.html
How slow is US economic growth? 'Close to zero'
Jeff Cox (http://www.cnbc.com/jeff-cox/) | @JeffCoxCNBCcom (http://twitter.com/JeffCoxCNBCcom)
<time class="datestamp" itemprop="datePublished" datetime="2016-07-29T09:55:30-0400" style="-webkit-tap-highlight-color: rgba(32, 119, 182, 0.2); padding: 5px 0px 0px; color: rgb(66, 72, 88); font-family: "Gotham Narrow SSm 4r", Arial; font-size: 11px;">Friday, 29 Jul 2016 | 9:55 AM ET
</time>While 2016's anemic growth level isn't an automatic disqualifier for an interest rate increase, the bar just got a little higher.
Friday's gross domestic product (http://www.cnbc.com/id/44505017) reading fell below even the dimming hopes on Wall Street. The 1.2 percent growth rate (http://www.cnbc.com/2016/07/29/us-advance-q2-2016-gross-domestic-product.html) in the second quarter combined with a downward revision to the first three months of the year to produce an average growth rate of just 1 percent.
...
As a result of Friday's news, Capital sliced its full-year GDP expectation from 2 percent to 1.5 percent.
In a year when the Fed was supposed to be on an orderly rate-hike pace of one per quarter, Wall Street now is talking about an economy that's not going anywhere and a central bank that will follow suit.
"The U.S. consumer is the only thing keeping the U.S. economy out of a recession and we've heard just this week the worries over auto sales and weakness for restaurants," Peter Boockvar, chief market analyst at The Lindsey Group, said in a note. "I'm not calling for a recession, but will zero to slightly negative growth feel much different than 1 percent growth?"
America Looks Like It’s Headed for a ‘Restaurant Recession’ by Chauncey L. Alcorn (http://fortune.com/author/chauncey-l-alcorn/) <time class="article-byline-time article-byline-item" itemprop="datePublished" datetime="2016-07-27 04:02:42" pubdate="" style="margin: 0px 30px 0px 0px; padding: 0px; box-sizing: border-box; font-size: 15px; -webkit-font-smoothing: antialiased; color: rgb(130, 130, 130); display: inline-block; font-family: "Helvetica Neue Medium", helvetica, sans-serif; text-transform: uppercase; line-height: 1; width: auto;">JULY 27, 2016, 4:02 PM EDT</time>
<time class="article-byline-time article-byline-item" itemprop="datePublished" datetime="2016-07-27 04:02:42" pubdate="" style="margin: 0px 30px 0px 0px; padding: 0px; box-sizing: border-box; font-size: 15px; -webkit-font-smoothing: antialiased; color: rgb(130, 130, 130); display: inline-block; font-family: "Helvetica Neue Medium", helvetica, sans-serif; text-transform: uppercase; line-height: 1; width: auto;">
</time>
It seems like no one wants to eat out when the world is in chaos, and one analyst says the U.S. is headed for a “restaurant recession.”
After downgrading 11 restaurant stocks on Tuesday, Stifel, Nicolaus & Co. analyst Paul Westra predicted a major downtown will soon hit, fueled by “U.S. politics, terrorism, social unrest,” and a resulting economic uncertainty, which is usually a sign of worse things to come.
“We warn investors that restaurant-industry sales tend to be the ‘Canary that Lays the Recessionary Egg,'” he wrote in a report.
...
Obviously it didn't gather dust: http://www.cnbc.com/2016/07/29/gdp-us-economic-growth-is-close-to-zero.html
How slow is US economic growth? 'Close to zero'
Jeff Cox (http://www.cnbc.com/jeff-cox/) | @JeffCoxCNBCcom (http://twitter.com/JeffCoxCNBCcom)
<time class="datestamp" itemprop="datePublished" datetime="2016-07-29T09:55:30-0400" style="-webkit-tap-highlight-color: rgba(32, 119, 182, 0.2); padding: 5px 0px 0px; color: rgb(66, 72, 88); font-family: "Gotham Narrow SSm 4r", Arial; font-size: 11px;">Friday, 29 Jul 2016 | 9:55 AM ET
</time>While 2016's anemic growth level isn't an automatic disqualifier for an interest rate increase, the bar just got a little higher.
Friday's gross domestic product (http://www.cnbc.com/id/44505017) reading fell below even the dimming hopes on Wall Street. The 1.2 percent growth rate (http://www.cnbc.com/2016/07/29/us-advance-q2-2016-gross-domestic-product.html) in the second quarter combined with a downward revision to the first three months of the year to produce an average growth rate of just 1 percent.
...
As a result of Friday's news, Capital sliced its full-year GDP expectation from 2 percent to 1.5 percent.
In a year when the Fed was supposed to be on an orderly rate-hike pace of one per quarter, Wall Street now is talking about an economy that's not going anywhere and a central bank that will follow suit.
"The U.S. consumer is the only thing keeping the U.S. economy out of a recession and we've heard just this week the worries over auto sales and weakness for restaurants," Peter Boockvar, chief market analyst at The Lindsey Group, said in a note. "I'm not calling for a recession, but will zero to slightly negative growth feel much different than 1 percent growth?"