A new study found that by tracking certain search terms in Google Trends, researchers could predict whether the Dow Jones industrial average would rise or fall the following week. … Read More
Blame austerity economics for our depressing new jobs report
Bad news on the economy. It added only 88,000 jobs in March – the slowest pace of job growth in nine months.While the jobless rate fell to 7.6 percent, much of the drop was due to the labor force shrinking by almost a half million people. If you’re not looking for work, you’re not counted as unemployed.That means the percentage of working-age Americans either with a job or looking for one dropped to 63.3 percent — its lowest level since 1979.The direction isn’t encouraging. The pace of job growth this year is slower than its pace last year.What’s going on? The simple fact is companies won’t hire if consumers aren’t buying enough to justify the new hires. And consumers don’t have enough money, or credit, or confidence to buy enough.It’s likely Americans are beginning to feel the pinches of January’s hike in the payroll tax combined with the government budget cuts known as the sequester. Increases in gas prices haven’t helped. All are taking money out of the pockets of most people – whose job situation remains precarious. So they can’t and won’t buy much.One indicator: Retailers cut their staffs in March — by 24,100.Continue Reading… … Read More
Will consumer pessimism plunge the U.S. into recession?
The Conference Board reported Tuesday that the preliminary January figure for consumer confidence in the United States fell to its lowest level in more than a year.
The last time consumers were this bummed out was October 2011, when there was widespread talk of a double-dip recession.
But this time business news is buoyant. The stock market is bullish. The housing market seems to have rebounded a bit.
So why are consumers so glum?
Because they’re deeply worried about their jobs and their incomes – as they have every right to be.
The job situation is still lousy. We’ll know more this coming Friday about what happened to jobs in January. But we know over 20 million people are still unemployed or underemployed.
Personal income is in terrible shape. The median wage continues to drop, adjusted for inflation.
Most people can’t get readily-available loans because banks are still cautious about lending to anyone without a sterling credit history. (Eliminate student loans and you find Americans aren’t borrowing any more than they were a year ago.)
Biderman’s Daily Edge: Expect Immediate Negative Impact From Higher Taxes
After-tax income will drop 3%-7.5%. … Read More
Stupid Obama stock market stories
12:09 p.m. EDT: The Dow Jones industrial average is up 54 points on the day. Hurrah, hurrah! The crash is over. Wall Street loves Obama!Funny, I just checked Twitter, and I’m not yet seeing an ecstatic response to this clear indication of Wall Street’s acquiescence to Obama. Instead, a search for “stock market” and “obama” reveals plenty of sore losers still crowing over how the 434 point decline in the Dow on Wednesday and Thursday proves that the president’s reelection is a disaster for the United States.”The stock market is really going down the shitter since Obama got reelected.”
“So what about that stock market crash because Obama was reelected? We’re headed to another recession.”
“Gas lines, prices, food prices, unemployment, stock market crash, welcome to Obama’s second term.”
“Stock market already down? I’m calling everyone who voted for Obama a dumbass in my Red Foreman voice.”Continue Reading… … Read More
Google reports disappointing drop in profits
Google on Thursday reported a 20 percent drop in third-quarter profits, announcing disappointing results which sent the Internet giant’s stock price tumbling. Net profit was reported at $2.18 billion, compared to $2.73 billion in the same period a year ago. The results were made public in a…
