The latest data shows the U.S. economy is continuing to slide alarmingly, asAlan Austinreports.

GOVERNMENTS DREAD updates from the statutory authorities showing a deteriorating economy. This is happening routinely in the United States under PresidentDonald Trumps bizarre mix of fascist and socialist interventionism.

Almost all current U.S. economic news is negative, despite Trump havingsackedsenior statisticianErika McEntarferearly last month after she released the Bureau of Labour Statistics (BLS) data showing the U.S. economyaddeda puny 93,000 jobs in June and lost 260,000 in July.

Trump accused McEntarfer of faking those job numbers for political purposes and installed a right-wing Trump supporter in the BLS top job.

This has now cast doubt on all U.S. economic data, not just from the BLS. This may well havereducedmarginal investment in the U.S. economy we dont know for sure without reliable data and keptinterestcharges higher than normal. This will likely make most Americans a little bit poorer.

As the world deals with the turmoil of Trumps erratic tariffs, the latest data shows Australia is among the winners on exports.

Living costs sneaking up

Inflationincreasedfrom a satisfactory 2.31% in April this year and 2.35% in May to 2.67% in June, then 2.7% in July and up to 2.92% in August. The real number is, of course, unknown, but probably higher.

GDP growth struggling

Annual GDP growth hasdeclinedsince the 2024 Election. In the election quarter last year, it fell from 2.7% to 2.5%. In the first quarter this year, it fell further to 1.99%, then increased marginally to 2.06% in the second. These are all historically weak figures.

Employment going backwards

This year, 501,000jobswere lost between January and August, lifting the jobless rate from 4.01% to 4.32%.

The main point of Trumps bizarre tariff crusade is to increase local production. He is failing spectacularly, withmanufacturingjobs down from 12,770,000 at the 2024 election to 12,722,000 in August. Thats 48,000 fewer jobs.

Federal government debt

Since Trumps inauguration, US$1.303 trillion (AU$1.97 trillion) has beenaddedto the debt. Thats an extra US$3,750 (AU$5,687) owed by every man, woman, child and baby.

Total debt owed by the USA is now US$37.510 trillion (AU$56.8 trillion), equivalent to $108,000 owed by every resident.

The latest statistics confirm the U.S. economy is entering the rapid deterioration phase.

Exports in reverse

Exports in the three months to April this yearaveragedUS$285.4 billion (AU$432.8 billion). Then came the backlash against Trumps tariffs. In the following three months May, June and July average exports tumbled to US$280.2 billion (AU$424.6 billion).

Stock exchange fluctuations

Stock market values reflect expectations of future earnings over the period of two to ten years from now. Most market analysts expect Trump to be impeached, imprisoned or dead by then.

Trump was not seen in public between Tuesday 26 August and Saturday 30 August, promptingspeculationhe was incapacitated or deceased. On Wednesday 27 August, the Dow Jonesindustrial averagejumped to 45,565, then rose further on Thursday 28 August to 45,637.

By Tuesday 2 September, after Trump had reappeared in apparent health, the Dow Jones index fell back to 45,292.

Global conditions propitious for the prepared

We can confirm that Americas economic woes are not due to external factors by observing comparable economies thriving under the same conditions.

Good examples includeDenmark, Ireland, Switzerland and Australia.

The Australian Bureau of Statistics has just released adocumenthighlighting seven features of Australias economy revealed by this months quarterlyannual accounts.

As the Epstein files resurface, Trumps desperate $15 billion lawsuit reeks of distraction and its not working.

They were as follows:

1. Economic growth rebounds

Australias economygrewin the June quarter by 0.6%, up from the dismal 0.26% in the March quarter, which the Bureau noted had been weather-disrupted. The annual increase from June 2024 to June 2025 was 1.82%, up from 1.34% in the previous quarter.

Although those are weak by local historical comparisons, both the quarterly and annual GDP growth numbers are well above the OECD averages. Of the 37 advanced OECD members for which we have June data, eight are in negative annual growth.

2. Living costs easing

Annual inflationeased in the June quarter to 2.09%, the lowest since March 2021.

On a quarterly basis, the CPI rose 0.71%, with the most significant price rises in housing, food and non-alcoholic beverages.

3. Positive wages growth

Annualwage growthstayed steady at 3.4% in June. This was lower than the 4.1% growth one year ago, but higher than any quarter from September 2013 to June 2022 under the Coalition.

4. Labour demand increasing

The proportion ofvacant jobsincreased to 2.1% and filled jobs rose 0.2% to 16.0 million, reflecting strong demand for workers across the economy.

Australiasjoblessrate has been below 4.4% for a record 45 months, with the female jobless rate below 4.15% for that period.

The unhinged decisions by the increasingly irrational U.S. President are having surprising global consequences.

5. EVs hitting the roads

Australians bought more hybrid andelectric vehiclesin the June quarter, as well as more utes, as is usual for June.

Although Australia is gradually increasing its sales of EVs, it still lags much of the developed world.

6. New home loans reach record-high

The average value ofnew home loansreached a record $678,011, up 7.5%on the same time last year.

Of the 38 OECD members, Australia is one of only six with strong growth inhousing permitsand construction. The others are France, Hungary, Iceland, Slovakia and Spain.

7. Luxury spending up

Household spendingincreased 0.9% in the June quarter, with discretionary spending up 1.4%, as Australians splashed out on hotels, restaurants and recreation over the Easter and ANZAC Day long weekends.

This confirms the Coalitions cost of livingcrisisis well and truly over.

Who is elected to manage the economy clearly matters. How they go about it makes a big difference to peoples lives.

While Australians are dining out, Americans are learning this the hard way.

Alan Austinis an Independent Australia columnist and freelance journalist. You can follow him@alanaustin001.

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