During an interview on "Mornings with Maria," Thursday, former economic council director Larry Lindsey provided analysis of May's core PCE report, arguing there are several signs suggesting that America is currently in a recession.
LARRY LINDSEY: …So we are going to have inventory decline that's going to contribute to a negative second half, which already is going to have weak consumption. But the other thing, if I may, we neglect CPI, and we shouldn't.
We've done a calculation that shows that for a typical four-person family with a median for person family income, 90% of their raise in the last 12 months has gone just to food and gasoline prices, which have gone up. That doesn't leave very much left over for everything else, and it also means that those other things went up in price as well. So it seems to us quite difficult for the consumer to keep marching forward.
WATCH THE FULL INTERVIEW HERE: