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NEW INDICATOR IS POINTING TO RENEWED ECONOMIC WEAKNESS

Interesting stuff here from Econbrowser and Professor James Hamilton on a new indicator created by Goldman’s Jan Hatzius and several others.  The indicator is deteriorating substantially in recent months and could be pointing to further economic weakness.  This indicator appears to have a fairly good track record in leading past downturns:

Read more about this interesting new indicator at EconBrowser and at the Chicago School’s website.

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