Reply #40: Three months of decline in White goods, and NO ONE IS SAYING WE ARE IN A RECESSION?

[happyslug]

That use to be the old rule, three months of decline of White Goods meant a recession is either on-going or about to happen. The rationale is simple, if you feel that you will keep your job for the next year or so, you replace the old white good with a new white good for you feel confident you will make the payments, but if you are unsure, you patch up the old white good for it is cheaper and you are unsure of being able to pay off the purchase of a replacement. Thus white good sales are "lead indicators" of recessions, and this is NOT good.