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Wednesday, 27 July 2016

Does a fast-food slump equal US recession in 2017?

Does a slump in the fast food market signal recession in the US of A by next year? Food for thought: The outlook for US restaurants looks grim, Reuters and the Financial Times report, using slowing sales growth in McDonald’s second quarter earnings as a springboard into the story. Enter Zerohedge, which picks up on a report by Stifel analyst Paul Estra that warns “a slowdown in the restaurant industry is a harbinger for an overall economic recession.” Recent results, he said, “reflect the start of the restaurant recession and likely [are] a harbinger for a US recession in early 2017.”

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