Interesing Chart

[swamper]

Might have to keep an eye on this one to see if they are trending this effectively.

http://www.businessinsider.com/char...&utm_medium=email&utm_campaign=CS_COTD_031110

Consumer Metrics Institute constructs a U.S. consumption index based on actual transactions data for a range of major discretionary purchases such as cars, houses, durable goods, and vacations.

The advantage of the institute's method is that consumer transactions data might be able to indicate the direction of the economy before U.S. GDP data is officially released.

As shown below, their 'Daily Growth Index' has lead changes in U.S. GDP reasonably well, at least going back to 2006. Admittedly, this is a short time frame.

Yet if their transactions data is a dependable leading indicator, then we could be in for a tumble.

That's because their Daily Growth Index just crashed, which means that U.S. GDP growth could be about to slump as well. Still, keep in mind that many economists expect about 3% U.S. GDP growth in 2010, so it wouldn't be a huge surprise if U.S. GDP growth slumped a little bit in the coming quarters.

 

[LACamper]

I've been watching my client's major purchasing activity. I'm starting to see some activity- cars and a toys (boats, rv's, 4 wheelers, antique cars, jewelry, fine art, etc.). Not back up to normal but still some is better than I've seen in quite a few months. Of course I'm dealing with a small sample population in a limited area...

 

[bkeach]

Interesting graph. I was just thinking to myself how much power we have as consumers. I hope to see more people united in 'tea party' like actions in the form of mass boycotts. If we can hit the pocket books they would actually listen. Need to make boycotting cool (t-shirts, pop culture etc) Maybe a social network site to organize boycotts. ...Something.