U.S. consumer spending recorded its biggest increase in more than six years in April.
Spending, which accounts for more than two-thirds of U.S. economic activity, surged at an annualized rate of 12% percent last month. It was the largest monthly increase since August 2009.
This is not what a recession looks like, especially since this number includes durable goods such as automobiles, refrigerators and furniture which I consider capital goods.
The idea that the economy was going to collapse after the minuscule 25 basis point Fed rate hike in December appears more and more absurd with each passing day.