Weaker-Than-Expected Headline Reporting Continued, as
Negative Revisions Plagued Headline Production and Retail Sales Data

Downside Implications for Both First- and Second-Quarter 2017 GDP

Above-or-At-Consensus Headline June Production and Manufacturing Gains
Reflected No More than Heavy Downside Revisions to Prior Months

No End in Sight: Record 114 Months of Continued Non-Expansion in Manufacturing,
With June Production and Manufacturing Still Down Respectively by
0.2% (-0.2%) and 6.1% (-6.1%) from Pre-Recession Highs

Retail Sales Contractions Continued, Despite Upside Growth Distortions from
Inconsistent Seasonal-Adjustment Revisions; Net of the Gimmicks, the
Headline June Sales Drop of 0.2% (-0.2%) Would Have Been 0.5% (-0.5%)

Recession Signal Intensified Sharply; Market Economic Sentiment
Appears to Be Shifting to the Downside, as Reflected in a Softening Dollar

Consumer Liquidity Stresses Continue to Restrain Broad Economic Growth

Headline June CPI-U Inflation Unchanged at Down 0.02% (-0.02%),
Pulled Annual CPI-U Inflation Lower to 1.63% (Was 1.87%), with
CPI-W at 1.50% (Was 1.78%) and ShadowStats at 9.3% (Was 9.6%)

Softening Consumer Inflation Likely Hit a Trough in June

June 2017 Annual Final-Demand PPI Declined to 1.99% (Was 2.36%)