2013 Mass Layoffs - Economy is tanking fast again
Looks like 2008 all over again
3-8-2013
http://finance.yahoo.com/blogs/brea...RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3
“You Want Fries With That?” Underemployment Remains Stubbornly High
By now you know that today's edition of The Biggest Number Ever in the form of Non-Farm Payrolls came in much better than expectations. The economy added 236,000 jobs in February far exceeding the official estimate of 175k. The unemployment rate dropped to 7.7% compared to 7.9% last month.
Wall Street is applauding and the economy continues to improve, albeit at the slowest rate in history. But the headlines aren't the real story.
According to Gallup polling the "Underemployment Rate" is near 18%.
In the attached clip I ask John Canally the Investment Strategist and Economist for LPL Financial if improvement in the unemployment rate trumps the relatively low quality of the jobs themselves.
"The ratio of full time to part time jobs is still relatively high," Canally says.
"The kind of jobs being added are not helping to push wage rates higher."
It's better for the human soul to be working rather than on the government dole but low end jobs are unlikely to drive the recovery America needs no matter what today's headlines say.
3-7-2013
http://finance.yahoo.com/blogs/dail...RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3
ECRI Still Insists We’re In A Recession–We Just Don’t Know It Yet
Eighteen months ago, in September 2011, the Economic Cycle Research Institute made a startling call:
"The U.S. economy is... tipping into a recession. And there's nothing that policy makers can do to head it off."
In support of this position, ECRI Co-Founder and Chief Operations Officer Lakshman Achuthan points out correctly that the timing of recessions is often determined only with the benefit of hindsight--often through revisions of prior numbers that initially did not show a recession. Achuthan thinks that, when the final revisions are in, they will show a recession that began in mid-2012.
Achuthan also points to several other measures that he says are consistent with recessions. This data, in his opinion, illustrates that the economy is in fact in a recession.
Ultimately, the distinction between a "recession" and a "crappy economy" is only important in economic forecasting circles, and our economy is certainly crappy. So the key question that most Americans want answered is "When is it going to get better?"
Unfortunately, ECRI's Achuthan does not have an answer for that. All he can say is that he doesn't expect it to get better anytime soon.
3-7-2013
http://www.foxbusiness.com/news/2013/03/07/us-job-cuts-rise-37-in-february/
U.S. Job Cuts Rise 37% in February
Layoffs planned by U.S.-based companies jumped 37% in February from the previous month, driven by job cuts in the financial sector
U.S.-based employers in February said they planned to cut 55,356 jobs, 7% more than the same period a year ago.
3,000 job cuts planned by United Technologies Corp. (UTX), which may foreshadow further layoffs by aerospace and defense companies as wide government spending cuts--known as the sequester--take effect.
Looks like 2008 all over again
3-8-2013
http://finance.yahoo.com/blogs/brea...RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3
“You Want Fries With That?” Underemployment Remains Stubbornly High
By now you know that today's edition of The Biggest Number Ever in the form of Non-Farm Payrolls came in much better than expectations. The economy added 236,000 jobs in February far exceeding the official estimate of 175k. The unemployment rate dropped to 7.7% compared to 7.9% last month.
Wall Street is applauding and the economy continues to improve, albeit at the slowest rate in history. But the headlines aren't the real story.
According to Gallup polling the "Underemployment Rate" is near 18%.
In the attached clip I ask John Canally the Investment Strategist and Economist for LPL Financial if improvement in the unemployment rate trumps the relatively low quality of the jobs themselves.
"The ratio of full time to part time jobs is still relatively high," Canally says.
"The kind of jobs being added are not helping to push wage rates higher."
It's better for the human soul to be working rather than on the government dole but low end jobs are unlikely to drive the recovery America needs no matter what today's headlines say.
3-7-2013
http://finance.yahoo.com/blogs/dail...RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3
ECRI Still Insists We’re In A Recession–We Just Don’t Know It Yet
Eighteen months ago, in September 2011, the Economic Cycle Research Institute made a startling call:
"The U.S. economy is... tipping into a recession. And there's nothing that policy makers can do to head it off."
In support of this position, ECRI Co-Founder and Chief Operations Officer Lakshman Achuthan points out correctly that the timing of recessions is often determined only with the benefit of hindsight--often through revisions of prior numbers that initially did not show a recession. Achuthan thinks that, when the final revisions are in, they will show a recession that began in mid-2012.
Achuthan also points to several other measures that he says are consistent with recessions. This data, in his opinion, illustrates that the economy is in fact in a recession.
Ultimately, the distinction between a "recession" and a "crappy economy" is only important in economic forecasting circles, and our economy is certainly crappy. So the key question that most Americans want answered is "When is it going to get better?"
Unfortunately, ECRI's Achuthan does not have an answer for that. All he can say is that he doesn't expect it to get better anytime soon.
3-7-2013
http://www.foxbusiness.com/news/2013/03/07/us-job-cuts-rise-37-in-february/
U.S. Job Cuts Rise 37% in February
Layoffs planned by U.S.-based companies jumped 37% in February from the previous month, driven by job cuts in the financial sector
U.S.-based employers in February said they planned to cut 55,356 jobs, 7% more than the same period a year ago.
3,000 job cuts planned by United Technologies Corp. (UTX), which may foreshadow further layoffs by aerospace and defense companies as wide government spending cuts--known as the sequester--take effect.
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