HERE IS A COMBINATION OF GOOD ECONOMIC NEWS!
It is true, no spin!
Everyone in the U.S experienced an automatic increase in income last month as the cost of living actually dropped, continuing record lows that have never, ever, in the history of the United States, occurred for any first term president! Things are definitely headed in the right direction!
By THE ASSOCIATED PRESS
Published: Decem...
It is true, no spin!
Everyone in the U.S experienced an automatic increase in income last month as the cost of living actually dropped, continuing record lows that have never, ever, in the history of the United States, occurred for any first term president! Things are definitely headed in the right direction!
By THE ASSOCIATED PRESS
Published: Decem...
ber 14, 2012
WASHINGTON (AP) — A steep drop in gasoline costs pushed down a measure of consumer prices last month, keeping inflation mild, the Labor Department said on Friday.
Gas prices fell 7.4 percent, the biggest drop in nearly four years, offsetting a 0.2 percent rise in food prices.
The seasonally adjusted Consumer Price Index dropped 0.3 percent in November from October, the department said.
In another report on Friday, the Federal Reserve said that factory output increased 1.1 percent in November from October as factories rebounded from Hurricane Sandy.
Auto production jumped 4.5 percent last month, the first increase since July. Production of primary metals, wood products, electrical equipment and appliances all showed gains.
Total industrial output at factories, mines and utilities also rose 1.1 percent last month, after a 0.7 percent decline in October.
In the consumer price report, priced ticked up 0.1 percent in November, excluding the volatile food and gas categories. Core prices have risen 1.9 percent in the last year, below the Federal Reserve’s annual target of 2 percent. Higher rents, airline fares and new cars pushed up core prices last month. The cost of clothing and used cars fell.
“In simplest terms, inflation is not a problem,” Jim Baird, chief investment strategist at Plante Moran Financial Advisors, said. Lower inflation “is a real positive that should provide modest relief for households dealing with limited income growth.”
Gas prices have fallen sharply in the last two months after spiking in the late summer. A gallon of gas cost an average of $3.29 nationwide Friday. That’s 15 cents less than a month ago and 50 cents less than in mid-October.
Prices for the broad category of meat, chicken, fish and eggs fell in November.
With inflation in check, the Fed said on Wednesday that it now planned to keep the short-term interest rate at nearly zero until the jobless rate fell to at least 6.5 percent, as long as inflation was not expected to top 2.5 percent.
It was the clearest sign yet that the Fed will keep rates low even after unemployment falls further and the economy picks up.
That is the old news. Here is the news reflecting on the future of our U.S. Economy:
Economic Indicators Bolster Optimism for U.S. Recovery
By REUTERS
WASHINGTON (Reuters) — The number of Americans filing new claims for jobless benefits fell sharply last week to a near four-year low, and retail sales rebounded in November, offering hopeful signs for the United States’ struggling economic recovery.
The New York Times
Initial claims for state unemployment aid fell for a fourth consecutive week, dropping by 29,000 to a seasonally adjusted 343,000, the Labor Department said on Thursday. They are now at their lowest level since early October, and within a hair of territory last seen in early 2008.
Another report suggested consumer spending picked up last month despite fear Washington would fail to avoid harsh austerity measures that could push the nation into recession. Worries over the automatic tax increases and spending cuts that would go into effect if Republicans and the White House cannot reach an agreement on the so-called fiscal cliff hit consumer sentiment hard in early December.
A slow but steady improvement in the labor market has helped support consumer spending, which propped up economic growth in the third quarter when business investment sagged.
However, the economy does appear to be bouncing back after Hurricane Sandy, which made landfall in the East Coast in late October and led to a spike in jobless claims.
The four-week moving average for new claims, which irons out weekly volatility, dropped by 27,000 people.
“The labor market might be improving a bit quicker than expected,” said David Sloan, an economist at 4Cast in New York.
The Commerce Department said retail sales rose 0.3 percent last month, rebounding from October’s 0.3 percent decline. The increase fell short of the forecast in a Reuters poll of economists, but a measure of core sales exceeded expectations.
The core retail sales figure, which excludes automobiles, gasoline and building materials, rose 0.5 percent in November. The government uses this measure to calculate consumer spending.
The Commerce Department also said business inventories, a critical component of economic growth, rose 0.4 percent in October, in line with expectations.
WASHINGTON (AP) — A steep drop in gasoline costs pushed down a measure of consumer prices last month, keeping inflation mild, the Labor Department said on Friday.
Gas prices fell 7.4 percent, the biggest drop in nearly four years, offsetting a 0.2 percent rise in food prices.
The seasonally adjusted Consumer Price Index dropped 0.3 percent in November from October, the department said.
In another report on Friday, the Federal Reserve said that factory output increased 1.1 percent in November from October as factories rebounded from Hurricane Sandy.
Auto production jumped 4.5 percent last month, the first increase since July. Production of primary metals, wood products, electrical equipment and appliances all showed gains.
Total industrial output at factories, mines and utilities also rose 1.1 percent last month, after a 0.7 percent decline in October.
In the consumer price report, priced ticked up 0.1 percent in November, excluding the volatile food and gas categories. Core prices have risen 1.9 percent in the last year, below the Federal Reserve’s annual target of 2 percent. Higher rents, airline fares and new cars pushed up core prices last month. The cost of clothing and used cars fell.
“In simplest terms, inflation is not a problem,” Jim Baird, chief investment strategist at Plante Moran Financial Advisors, said. Lower inflation “is a real positive that should provide modest relief for households dealing with limited income growth.”
Gas prices have fallen sharply in the last two months after spiking in the late summer. A gallon of gas cost an average of $3.29 nationwide Friday. That’s 15 cents less than a month ago and 50 cents less than in mid-October.
Prices for the broad category of meat, chicken, fish and eggs fell in November.
With inflation in check, the Fed said on Wednesday that it now planned to keep the short-term interest rate at nearly zero until the jobless rate fell to at least 6.5 percent, as long as inflation was not expected to top 2.5 percent.
It was the clearest sign yet that the Fed will keep rates low even after unemployment falls further and the economy picks up.
That is the old news. Here is the news reflecting on the future of our U.S. Economy:
Economic Indicators Bolster Optimism for U.S. Recovery
By REUTERS
WASHINGTON (Reuters) — The number of Americans filing new claims for jobless benefits fell sharply last week to a near four-year low, and retail sales rebounded in November, offering hopeful signs for the United States’ struggling economic recovery.
The New York Times
Initial claims for state unemployment aid fell for a fourth consecutive week, dropping by 29,000 to a seasonally adjusted 343,000, the Labor Department said on Thursday. They are now at their lowest level since early October, and within a hair of territory last seen in early 2008.
Another report suggested consumer spending picked up last month despite fear Washington would fail to avoid harsh austerity measures that could push the nation into recession. Worries over the automatic tax increases and spending cuts that would go into effect if Republicans and the White House cannot reach an agreement on the so-called fiscal cliff hit consumer sentiment hard in early December.
A slow but steady improvement in the labor market has helped support consumer spending, which propped up economic growth in the third quarter when business investment sagged.
However, the economy does appear to be bouncing back after Hurricane Sandy, which made landfall in the East Coast in late October and led to a spike in jobless claims.
The four-week moving average for new claims, which irons out weekly volatility, dropped by 27,000 people.
“The labor market might be improving a bit quicker than expected,” said David Sloan, an economist at 4Cast in New York.
The Commerce Department said retail sales rose 0.3 percent last month, rebounding from October’s 0.3 percent decline. The increase fell short of the forecast in a Reuters poll of economists, but a measure of core sales exceeded expectations.
The core retail sales figure, which excludes automobiles, gasoline and building materials, rose 0.5 percent in November. The government uses this measure to calculate consumer spending.
The Commerce Department also said business inventories, a critical component of economic growth, rose 0.4 percent in October, in line with expectations.
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