Government released revised estimate for Q4 GDP Initial estimate was 2.6; revised down to 2.2 Economic growth dipped from 5% in Q3 to 2.18% in Q4 PMI was expecting 58.7 but plunged to 45.8, indicating contraction Alan Greenspan commented that the U.S. economy is weak Greenspan cites declining U.S. productivity Points to declining gross domestic
Shocking Admission & Denial from Alan Greenspan Read More »
Janet Yellen’s prepared remarks were the most dovish yet If economy is improving, why do we still need “a high degree of accommodation?” There is still room for “substantial improvement in the labor market” Any modification of guidance will not necessarily indicate rate increase Yellen states lower energy prices is positive for the economy, yet
Fed Might Begin Thinking About Raising Rates at Some Point – Ep. 56 Read More »
Patricia Arquette claims that there is a still an unfair gender wage gap in the labor market If that were true, all employers – male and female – would hire women first, because they are more cost effective employees But they don’t Women who choose to balance family with career often accept lower-paying positions Women
Hollywood Hypocrisy and Gender Pay Gap Fiction – Ep. 55 Read More »
Two days of bad economic news this shortened week The Fed still says the economy is recovering Recent FOMC minutes maintains pretense they can raise interest rates FOMC members are worried about raising rates “too soon” The Fed is worried about how to remove the word “patient” from communications How confident can the Fed be
Fed’s Open Mouth Operations Having Complications – Ep. 54 Read More »
Friday 13th was not unlucky for Wall Street S&P 500 traded to an all-time record high The Dow closed above 18,000 NASDAQ at almost a 15-year high Despite overall trend of weak corporate earnings Weak economic data does not dampen Wall Street’s spirits Central Banks are behind the surge with excess liquidity Wednesday – Mortgage
Investor Confidence Sends Stock Indexes to New Highs – Ep. 53 Read More »
China announces a record trade surplus Media reports surplus as bad news for China Because of the strength of the Yuan, Chinese can buy more imports for less Chinese consumers purchasing more Chinese businesses manufacturing more Contrary to press reports these factors point to a strong economy in China U.S. has record deficits along with
I’m Living in an Economic Twilight Zone – Ep. 52 Read More »
Monthly non-farm employment number beat expectations Upward revisions to prior months Average hourly earnings number jumped by .5 Immediate reaction in the market was swift Dollar up; gold down Unemployment up Labor force participation down among younger workers Jobs number inconsistent with other weak economic data Layoffs are up Government is way off on “jobs
Despite Slowing Economy, Job Growth Speeds Up – Ep. 51 Read More »
Volatile day in the markets Largest decline in Personal Spending since September 2009 Wages and Salaries gain slowest in 7 months December ISM Manufacturing Index down to 53.5 December Employment growth at 7-month low 2.6% GDP number will likely be revised downward U.S. Factory Orders declined 3.6% in December Oil prices triggering momentum against the
Are Forex Markets Finally Acknowledging the Slowing U.S. Economy? Read More »
Last week a scene unfolded in Athens, largely unnoticed by American eyes, that provided all the visual and metaphorical symbols needed to define the current state of the global economy. Hollywood’s best screenwriters couldn’t have laid it out any better. Tiring of being told by self-righteous foreigners to pay for past borrowing with current austerity,
The Bravado of Borrowers Read More »