US President Trump says the US economy is booming at 3.4% growth, with consumer spending and business investment way up and equipment investment up 21%; ; core inflation remained low

Full post: Today I am pleased to report, in breaking news this morning, that the U.S. economy is booming at 3.4 percent — a historic level of economic growth. Consumer spending is way up, business investment is way up, and investment in new equipment exploded by 21%, which means record numbers of factories and companies are being built and expanded in the U.S.A. Very importantly, core inflation remained low. We are smashing expectations — with today’s numbers beating 72% of economists’ forecasts. Our economy is roaring but, if the Dumocrats win the midterms, they will burn it all down. If you want to keep this growth going, you must vote Republican! President Donald J. Trump

Presidential commentary on freshly released growth and inflation figures is a recurring feature of this administration's communications pattern and has historically functioned as amplification rather than new information: the market-moving event is the underlying print, which desks will already have traded, while the political framing around it tends to produce little follow-through on its own. The specific claims here, the growth rate, the equipment investment figure, the characterisation of core inflation as low, should be read against the actual release rather than the retelling, since headline GDP of this magnitude in past cycles has frequently been flattered by volatile components such as inventories, trade, or government spending, and the composition matters more than the top line for the rates reaction. The forward-looking element is the explicit linkage of the data to the midterm vote, a reminder that fiscal and trade policy uncertainty tends to rise into US election windows, which has on previous occasions shown up in term premium and in hedging demand rather than in immediate spot moves. The transmission channel, if any, runs through the front end via how a strong growth and low core inflation mix feeds Fed rhetoric: hot growth with contained inflation is the combination that has historically allowed patient central banks to stay on hold without hawkish repricing. The worth-watching follow-ons are revisions to the print, the income and saving detail beneath the spending claim, and whether Fed speakers echo or quietly qualify the 'low inflation' characterisation. As commentary rather than policy action, the signal value is thin.