US GDP growth beats WS estimates, grows at 4.9% , and this is good for Bitcoin

[stompix]

The gross domestic product (GDP) of the US expanded at an annualized rate of 4.9 per cent in the third quarter, the US Bureau of Economic Analysis' (BEA) first estimate showed on Thursday, October 6. The US economy grew at the fastest pace in nearly two years, buoyed by a strong consumer in spite of higher interest rates, ongoing inflation pressures, and a variety of other domestic and global headwinds.

Economists surveyed by Dow Jones expected the GDP to accelerate at 4.7 per cent, which also is adjusted for inflation.]The US GDP reading followed the 2.1 per cent growth recorded in the second quarter and surpassed Wall Street expectations of 4.2 per cent. [/url]Economists surveyed by Dow Jones expected the GDP to accelerate at 4.7 per cent, which also is adjusted for inflation.

Before you even mention it, read the highlighted part, it's inflation-adjusted!

Probably a hard-to-swallow pill for doomsday lovers but the reality is that:

The acceleration was made possible in part by slowing inflation, which lifted purchasing power even as wage growth weakened, and a job market that has shown renewed vigor over the past three months.“There’s been an enormous increase in wealth since Covid,” said Yelena Shulyatyeva, senior economist for the bank BNP Paribas, referring to recent Fed data that showed median net worth climbed 37 percent from 2019 to 2022. “People still take not just one vacation, not just two, but three and four.”

Median wealth is up, expenditure is up, manufacturing is up, and of course, this is reflected in the GDP growth!
To fully understand the enormous growth behind those tiny 4.9%, let's just see this as an example, let's consider this 4.9% would be anual, so it would represent 4.9% out of 26.949 trillion is 1.32 trillion.

So this tiny 4.9% growth of the US GDP is equal to the entire annual GDP of

• Nigeria 380 billions
• Philipines 445 billions
• Iran 366 billions
• and still has room for 1/3 of Pakistan.
  

Or in BTC terms, it's nearly twice the market cap of BTC , so if only half of this 4.9% growth would go to BTC it would double the price or even more (considering lost coins and holders).

But overall:
Economic growth and enthusiasm mean one thing, people have more money to spend, people look at alternatives to invest and they have the means to do so, if you were in a recession nobody would have money to put in investments as everyone would be trying to save as much as possible so despite the US haters going screaming and banging their heads against the wall at the sigh of good news this is indeed good for BTC price!
People getting poorer won't do any good, you can't invest poverty!

With prices already climbing and people anxious for WS to invest even more once the gates are opened, with more money on the table for this, what could be better?  [/list]

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[Faisal2202]

I got your point here, and it is valid but I am so amazed to see the stats if the GDP is really increasing unexpectedly. People of today's world are leveraging the new technologies related to the internet expanding their business in different countries and making a hell of a lot of money that's why they are taking more than 2 holidays, and frankly speaking, the employment time has also changed, because back in time, the employee was forced to do work and they have to lift the testicles of there bosses but in the modern world, bosses have to lift there. 

So tragic it is, well good for everyone, especially for the employees because new policies of motivation, maintenance, training, and development must be providing them some relaxation. EEO (Equal employment opportunities) are also adopted which back in time was not. So, I think besides having more money, people are taking more than 2 leaves is because they are being treated by the companies well.

Overall, if half of that 1.2 trillion money comes in the BTC only then its market cap will become around 1.3 trillion dollars (currently is $677.82B) means it will double and of course, the adoption will also double and the price will be quadrupled or more.

And frankly speaking, this increment of around 4.9% makes 1.2 trillion and it covers the total GDP of 3 countries and the third part of our country Pakistan also, I would say there are movies (Hollywood) that make more money than our GDP well, it is a moment of silence but I mean, movies are doing great. (Idk the source of your valuation for the countries but it would be helpful to have them)

[stompix]

And frankly speaking, this increment of around 4.9% makes 1.2 trillion and it covers the total GDP of 3 countries and the third part of our country Pakistan also, I would say there are movies (Hollywood) that make more money than our GDP well, it is a moment of silence but I mean, movies are doing great. (Idk the source of your valuation for the countries but it would be helpful to have them)

You've mistaken a bit the numbers, probably because of the trillion things.
Pakistan's GDP is $340 billion, and the biggest movie by gross income in history was Avatar at $2.9 billion, so one hundred times lower.
Even Disney with all its movies and services is at "just" 80 billion, so no, you're not that bad ..yet!
You (as a nation) need to really kick out all your leaders and start with a completely new batch, new strategy, new priorities, but I know easier said than done!

As for the GDP data, it's all over the net, the number from wiki for example are from here

But overall, yeah, pretty nice to have a break and stop with the whole doom and gloom, well, at least for some!

[Poker Player]

Median wealth is up, expenditure is up, manufacturing is up, and of course, this is reflected in the GDP growth!
...
But overall:
Economic growth and enthusiasm mean one thing, people have more money to spend, people look at alternatives to invest and they have the means to do so, if you were in a recession nobody would have money to put in investments as everyone would be trying to save as much as possible so despite the US haters going screaming and banging their heads against the wall at the sigh of good news this is indeed good for BTC price!
People getting poorer won't do any good, you can't invest poverty!

From the looks of it, people on this board prefer to talk more about the apocalypse than good news, given the responses to the thread. The only question I have about your argument is how it's going to affect rate policies. If there is economic growth people will continue to spend and the momentary pause we have now in rate hikes may not last long and they will have to keep raising them. It's not a one factor thing but so far Bitcoin has done very well with 0 or very low rate policies. What has happened so far in recession is that central banks started printing to get out of recession and because of the Cantillon effect much of the printed money ended up in financial assets, such as Bitcoin. I'm also not saying that economic growth and high rates are bad for the price of Bitcoin but we will have to see how things evolve.

[davis196]

The US GDP growth is fueled by debt. The Chinese GDP growth is also fueled by debt.
Can any country around the world grow it's GDP without debt?
Comparing the US GDP growth with the GDP of underdeveloped countries isn't serious.
The US federal debt(more than 2 trillion USD) is as big as the entire GDP of Russia.
The USA is spending more than 1 trillion dollars per year for their national debt.
This is more than the GDP of countries like Nigeria, Pakistan, Philippines, etc.
What's more important than the GDP numbers is the redistribution of this GDP. Most of the US GDP is just consumption and less investing and government spending. The infrastructure in the USA is in a bad condition, but the Americans want to spend more for consumer goods and services with borrowed money.

[stompix]

From the looks of it, people on this board prefer to talk more about the apocalypse than good news, given the responses to the thread.

Because when you see your only chance to take the front spot since you're not that special at all and you have nothing that would naturally promote you there is the only other option left is stepping on those in front of you. Pretty much socialism, instead of getting everyone rich, let's kill the rich and have everyone be poor and equal. Not to mention the whole let's hate the US because they rejected my visa 100 times! 

The only question I have about your argument is how it's going to affect rate policies. If there is economic growth people will continue to spend and the momentary pause we have now in rate hikes may not last long and they will have to keep raising them.

It depends because we don't know the effects of growth.
If it's consumer products and again the supply will not be able to catch up then we would have inflation and thus rates, if it's in the services and then spreading to real estate then not so much as that influx rarely triggers inflation, moreover, it could even bring housing price down if the supply grows from investment.
Complicated thing and I doubt anyone would really be able to know, I always say Japan is the perfect example why not assume anything, you have mad money printing and deflation, so I guess everything is on the table.

The USA is spending more than 1 trillion dollars per year for their national debt.
This is more than the GDP of countries like Nigeria, Pakistan, Philippines, etc.

And yet miraculously there are millions going from Nigeria, Pakistan, Philippines to the US and paying a high price for it, and a dozen doing the trip the opposite way. Nigeria has a debt ratio of 20% , Japan of 220%, let's make a poll on how great everyone in that country feel like ?
Japan has exceeded 100% twenty years ago, 30% of the ones seeing that are dead now, do you think they would have needed to care about it?

[el kaka22]

Not entirely sure how legit this number is, but if the growth is like this, then we need to realize would this equally be good for the nation as well. People talking about growth, but if the rich grew 20% and the poor grew 1% and that averaged to 5%, then it means it is not good for the nation anyway. Doesn't mean that we shouldn't grow, we should keep on growing whenever we can, but we need to make sure that life is better. Do we not have homeless people issue in USA? Not have riot issues? Meth issues? Insurance issues? Healthcare issues? We still have a lot of these issues at the "biggest and strongest nation in the world".

USA loves to boost about how amazing their nation is, while there are people dying on the street from starvation and drug abuse. I am sorry but what kind of great nation would have that, I would very much prefer EU over USA, the "freedom" of USA became "freedom to die of drug abuse on the street" and I rather not have that, thanks.

[DVlog]

USA loves to boost about how amazing their nation is, while there are people dying on the street from starvation and drug abuse. I am sorry but what kind of great nation would have that, I would very much prefer EU over USA, the "freedom" of USA became "freedom to die of drug abuse on the street" and I rather not have that, thanks.

Drug addiction and homeless people are not the only problems in the USA and they are not the only nation suffering for this. What percent of the population is leaving in a worse condition than this? The number is not super high and if it were, then people from other countries wouldn't want to settle their lives here. I agree with you that some EU countries are better than the USA for living standards, but the USA is not super bad.

I prefer the EU over the USA due to the frequent gunshots in the USA and civilian casualties. Sometimes these events give me the feeling that the country is in a civil war. If the USA's democratic constitution fall on then this country will be in a civil war.

[stompix]

Not entirely sure how legit this number is, but if the growth is like this, then we need to realize would this equally be good for the nation as well. People talking about growth, but if the rich grew 20% and the poor grew 1% and that averaged to 5%, then it means it is not good for the nation anyway.

Again:

data that showed median net worth

It's median not average, so the whole thing about only the rich getting richer is so overplayed:

I am sorry but what kind of great nation would have that, I would very much prefer EU over USA, the "freedom" of USA became "freedom to die of drug abuse on the street" and I rather not have that, thanks.

So you're saying drug abuse is punishable by death in Europe or something? First that I hear about! 
The choices of the individual have nothing to do with the economy! The largest number of deaths per capita by drug abuse in Europe are in Norway at 4.45 per/100k, 4 times worse than in Angola yet I don't see anyone saying how life is much better in Angola than in Norway!

The number is not super high and if it were, then people from other countries wouldn't want to settle their lives here.

They come in millions to the US probably because they want to be homeless and a drug addict! 
Imagine saving half of your life to get the money to cross the border illegally, just because they want to experience homelessness, those guys must be some real masochists /s!

[Poker Player]

Pretty much socialism, instead of getting everyone rich, let's kill the rich and have everyone be poor and equal. Not to mention the whole let's hate the US because they rejected my visa 100 times! 

Lol. I nearly died laughing at this.

It depends because we don't know the effects of growth.

Yes, there are several factors that can influence, so while the news is good, we will have to see concretely how the price of Bitcoin evolves in the near future.

And yet miraculously there are millions going from Nigeria, Pakistan, Philippines to the US and paying a high price for it, and a dozen doing the trip the opposite way.

That is clear, there are many things that I personally don't like about the USA, like the shootings or the opioid crisis, but we have to think that in spite of that it is the number 1 country where people want to emigrate. It has above all opportunities for those who emigrate there that outweigh these aspects. Not to mention that people who emigrate from countries like Venezuela, or El Salvador before Bukele, countries like that, are more likely to be shot and killed in their country than in the USA.