Unemployment, food prices, energy prices increase

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Just a regular American
Jul 24, 2010
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First time jobless claims rose 35,000 last week while experts expected a decline of 5,000. Biggest one week jump in 6 months. Factory activity also rose less than expected. Could this be an effect of the rise of oil? Meanwhile world food prices have reached record levels. and may go even higher. For November, China's exports to the USA: $25.63 billion, US exports to China: $9.5 billion. China's financial reserves are exploding.

Energy prices? With China's continued demand for more and more oil the cost of oil will continue to creep up. Will we see $100 a barrel oil soon? Remember the last oil spike preceeded and was an underlying cause for the recession. The indicators are there for another downturn and this one may be worse.

http://www.bing.com/search?q=financial+bailout&mkt=en-us&FORM=HPNTLB&PC=HPNTDF
 
Unemployment not gettin' better...
:eek:
Gallup poll points to worsening employment figures in US
Saturday 19th February, 2011 - A finding by Gallup in the US has shown unemployment is rising, not falling.
The Gallup survey has shown high levels of unemployment, with rises in mid-January to the current day.

Gallup's latest poll will dampen hopes that the country's high levels of unemployment will reduce anytime soon and shows conditions in the job market have not improved from this time a year ago.

The study determined that the rise in unemployment rate was largely the result of a sharp increase in the number of people working part-time but seeking full-time employment.

Three years into the economic crisis, economists predict a painful unemployment rate of about 21% throughout 2011.

Gallup poll points to worsening employment figures in US
 
Calming the oil markets down some...
:cool:
Oil lower after Libya cease-fire call
March 18, 2011 -- Oil prices ticked lower Friday after Libya declared a cease-fire following a United Nations' vote for a no-fly zone over the nation.
The U.N. late Thursday voted 10-0, with 5 abstentions, to impose a no-fly zone over Libya in an effort to protect civilians in the battle between rebels and forces loyal to leader Moammar Gadhafi. Gadhafi's regime responded early Friday by declaring an immediate cease-fire.

"This is a complete change of heart from the Libyan defense officials," said Phil Flynn, senior market analyst at PFG Best. "Yesterday they were talking about attacking planes, and today they're calling for a cease-fire. The question is whether anyone believes them, and whether it's too late now." After rising about 1% earlier in the session, U.S. oil prices for April delivery fell 35 cents to settle at $101.70 a barrel. Brent crude, the benchmark European contract, fell 1.4% to $113.52 a barrel for May delivery.

The cease-fire announcement sent oil prices lower, Flynn said, because it eased some concerns about disrupted supply from the region. Libya is Africa's third-largest oil producer and sits atop the continent's largest reserves. The situation in Libya has taken the spotlight for now, Flynn said, but he expected trade to vary widely throughout the day. "There's violence in Bahrain and Yemen, and oil tankers going through the volatile Mediterranean," Flynn said. "And we don't know that Libya is going to do what they've said. We know they've used terror tactics in the past."

Also on investors' minds was demand fundamentals stemming from Japan's disaster. The 8.9-magnitude earthquake that hit northern Japan last Friday triggered a massive tsunami that swept across towns and killed thousands. Earlier this week, traders dumped commodities on fears that the situation in Japan could trigger a global economic slowdown. But by midweek, oil was staging a comeback. On Thursday, crude prices surged more than 3%.

MORE
 
Speculators drivin' up oil prices - again...
:eusa_hand:
Oil Prices Rise; All Eyes on Middle East, Japan
03/22/11 --- Oil prices rose again on Tuesday, as the combination of Middle East geopolitical tensions and Japanese rebuilding after the devastating earthquake and tsunami continue to dominate market sentiment and energy prices. It was the second consecutive day for higher oil prices and the energy sector, while trading in the red in the afternoon on Tuesday, was down less than the broader markets.
WTI spot was up 1% on Tuesday, just below the $104 mark, while Nymex crude futures were up by 1.5%. Brent crude was the laggard on the day, up 0.5% but right at the $115 mark. WTI spot was up 1% on Tuesday, just below the $104 mark, while Nymex crude futures were up by 1.5%. Brent crude was the laggard on the day, up 0.5% but right at the $115 mark.

There is no shortage of macroeconomic triggers to hem in oil prices, but the markets continue to wear the Middle East/Japan blinders, in the opinion of Summit Energy commodities analyst Matt Smith. The Middle East represents the short-term "fear" factor moving oil higher, while Japan's rebuilding needs trigger bullishness on oil demand longer term.

"Tuesday is just more evidence that the markets are purely focused on the Middle East and Japan. There are the European economic issues, and inflation in the U.K. but it's all Yemen and Libya," said Summit Energy's Smith. Irish and Portuguese bond defaults, specifically, remain major macroeconomic risk headlines, but the markets don't seem to notice, Summit Energy's Smith concluded. He added that another headline from the Middle East on Tuesday, with Israel firing on the Gaza Strip, can do more to move the markets than systematic risk to Europe's economy.

The Libyan conflict also upped the ante this week, with the U.S. and its allies launching an offensive over the weekend. "Last week the WTI was flat and now we're seeing a bump with the Libyan conflict not likely to be resolved any time soon," Smith said. However, while the Libyan conflict remains a headline issue, energy market analysts and traders were focused on the rest of the Middle East. Summit Energy's Smith said that the markets have already priced in the risk of Libya being completely offline in terms of oil production. "It's fear more than fundamentals," said Summit Energy's Smith.

Source
 
Looks like dat double-dip recession is just about upon us...
:eek:
More People Applied for Unemployment Benefits
Thursday, April 28, 2011 Washington (AP) - More people sought unemployment benefits last week, the second rise in three weeks, a sign of the slow and uneven jobs recovery.
Applications for unemployment benefits jumped 25,000 to a seasonally adjusted 429,000 for the week ending April 23, the Labor Department said Thursday. That's the highest total since late January. The four-week average of applications, a less volatile measure, rose to 408,500, its third straight rise and the first time it has topped 400,000 in two months. Applications near 375,000 are consistent with sustained job creation. Applications peaked during the recession at 659,000.

Several economists attributed the increase to difficulties in seasonally adjusting the data around the Easter holidays. Since the timing of Easter changes each year, the data around the holiday week can be volatile. "Given these technical factors, we are inclined to dismiss the recent backup," said Carl Riccadonna, an economist at Deutsche Bank Securities. "We will be looking for claims to move back below 400,000 in early May."

Other analysts were more slightly more concerned. Ryan Wang, an economist at HSBC Securities, noted that the four-week average has increased by 20,000 in the past month. "Minor seasonal distortions are not a good reason to dismiss the underlying increase in jobless claims," Wang wrote in a note to clients. "This is a big enough increase to merit some concern about the direction of employment growth going forward."

Some analysts have predicted that auto factory shutdowns, stemming from supply disruptions in Japan, would cause applications to rise. But a Labor Department analyst said only one state reported auto-related layoffs and the increase was modest. Economic growth slowed sharply in the first three months of the year, according to a separate report Thursday from the Commerce Department. Rising gas prices cut into consumer spending, bad weather delayed construction projects and the federal government cut defense spending by the most in six years.

MORE

See also:

Economy Slowed by High Gas Prices, Bad Weather
Thursday, April 28, 2011 Washington (AP) - The economy slowed sharply in the first three months of the year as high gas prices cut into consumer spending, bad weather delayed construction projects and the federal government slashed defense spending by the most in six years.
The Commerce Department said Thursday that the economy grew at a 1.8 percent annual rate in the January-March quarter. That was weaker than the 3.1 percent growth rate for the October-December quarter. And it was the worst showing since last spring when the European debt crisis slowed growth to a 1.7 percent pace. Federal Reserve Chairman Ben Bernanke and other economists say the slowdown last quarter is a temporary setback. They generally agree that gas prices will stabilize and the economy will grow at a 3 percent pace in each of the next three quarters.

But gas prices are still going up. The national average on Thursday was $3.88 a gallon, an increase of 30 cents from a month ago when the first quarter ended. An inflation gauge in the report showed consumer prices rose last quarter at the fastest pace in nearly three years, with most of the increase coming from higher fuel costs. Rising gas prices are draining most of the extra money that Americans are receiving this year from a Social Security payroll tax cut.

In the January-March quarter, consumers boosted spending at a 2.7 percent pace. That was down from a 4 percent pace in the prior quarter and was the weakest pace since last summer. Consumer spending is important because it accounts for roughly 70 percent of overall economic activity. Pump prices were mostly blamed for the pullback, although harsh winter weather also kept people from shopping. "All things considered, it could have been worse," said economist Paul Dales at Capital Economics. Even though consumers spent less, the pace of spending by historical standards is decent.

MORE
 
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First time jobless claims rose 35,000 last week while experts expected a decline of 5,000. Biggest one week jump in 6 months. Factory activity also rose less than expected. Could this be an effect of the rise of oil? Meanwhile world food prices have reached record levels. and may go even higher. For November, China's exports to the USA: $25.63 billion, US exports to China: $9.5 billion. China's financial reserves are exploding.

Energy prices? With China's continued demand for more and more oil the cost of oil will continue to creep up. Will we see $100 a barrel oil soon? Remember the last oil spike preceeded and was an underlying cause for the recession. The indicators are there for another downturn and this one may be worse.

financial bailout - Bing


After reqding most of your post I came across the part on the $100/barrel and thought WTH?

Then I checked the date.

Between that post and now, the sputtering, faltering economy has reeled along like a drunk falling down in his own vomit while the media proclaims an ever improving economy. We are in ever deepening poop and the clown at the wheel is lying about his lies.

Maybe when Oprah retires, this empty suit will take over her show.

Probably not. He's not qualified to do that job either.
 
This isn't going to brighten anyone's day:

Don't Mean To Be Rude, But The Economy Sucks

Don't Mean To Be Rude, But The Economy Sucks
Henry Blodget

In the past couple of months, a disconnect has developed between the perception of the US economy and the reality.

The perception is that everything's just fine: The continuation of a solid if unspectacular recovery that began in the summer of 2009. Stocks continue to rise. Corporate profits continue to boom. The unemployment rate continues to tick down. Wall Street continues to coin money.

But the reality is that the recovery has never been strong and that many key metrics have recently turned south--despite the fact that the government still has its foot stomped on the stimulus gas.

What metrics have turned south?

Well, first and foremost, GDP growth.

We learned this morning that the economy grew at a pathetic 1.8% in Q1. That's way below the 3%-4% rate that most economists consider normal. And it's miles below the 5%-7% growth that normally follows a recession as sharp and severe as the one we just had.

Meanwhile, the Fed still has interest rates parked at zero, and is still conducting emergency stimulus measures like QE2. And the government's huge stimulus package from 2009 is still driving spending. And we're still spending an absolutely mind-boggling ~$1.5 trillion per year more than we take in (federal deficit)--and piling up humongous debts in the process. And, needless to say, none of this spending--"stimulus" or just normal spending we can't afford--has produced the desired private-sector growth.

1.8% GDP growth in the face of massive stimulus is the equivalent of your car sputtering down the highway at 45 miles per hour while you have the gas pedal floored. You might be glad that the car hasn't broken down completely, but you certainly won't conclude that all is well. And you also might conclude--wisely--that if 45 is the best you can do with the gas pedal floored, things may be about to get a whole lot worse.

And it's not just growth that blows.

In the past few weeks, initial jobless claims have ticked back above 400,000 per week, considerably higher than economists expected. Jobless claims above 400,000 are generally considered a sign of a contracting job market, not a growing one. If the recent jobless claims trends continue, the monthly jobs figures may soon go from "okay, not great" to downright lousy again.

chart, unemployment rate, education, feb 2011And then there's the unemployment rate. It's still almost 9%! Imagine if, back in 2007, someone had told you that in 2011 the unemployment rate would be 9% and that some folks would consider that encouraging. You'd have dismissed them as a flat-earther or Armageddonist. But here we are.

What else?

House prices are falling again--so quickly that, in many parts of the country, they're now setting new post-bubble lows. Remember all the hand-wringing two years ago about how the economy would never really recover until we got a floor in house prices--and, therefore, how the government had to do everything possible to put a floor under house prices? Well, now the government appears to have given up. (And that's actually a good thing, because there's no government price intervention in history that we know of that has permanently prevented prices from reverting to the level the market will support. Governments can delay the inevitable, but they can't prevent it. And house prices are still "expensive" on a historical basis.)...
It just goes on from there. Not much of a silver lining to be found.
 
Lordy, lordy.

Oil prices are rising as demand from Asia creates increasing pressure on a supply that has nearly peaked out. New discoveries are way behind use.

Almost every year for the last decade, the world grain reserves have shrank, even as population increased. And the increaingly wierd weather has started to decrease those reserves even further.

We shipped much of our manufacturing overseas, even as we kept the real earnings of the previously blue collar middle class worker at the same level for almost 30 years. This has been very nice for the very wealthy, and, of course, they deserve another tax break for managing this so well, but now most of the previous blue collar middle class have joined the working poor.

Now, much to all of the numbnuts surprise, the cost of food and fuel is ramping up. Even as wages and real income is declining for most of us.

Of course, I am still doing very well, so I should be telling all of you with problems that you are a bunch to dumb asses, and don't deserve to be able to buy both food and fuel, correct?

Well, hang on folks, this ride has only began.
 
Unemployment not gettin' better...
:eek:
Gallup poll points to worsening employment figures in US
Saturday 19th February, 2011 - A finding by Gallup in the US has shown unemployment is rising, not falling.
The Gallup survey has shown high levels of unemployment, with rises in mid-January to the current day.

Gallup's latest poll will dampen hopes that the country's high levels of unemployment will reduce anytime soon and shows conditions in the job market have not improved from this time a year ago.

The study determined that the rise in unemployment rate was largely the result of a sharp increase in the number of people working part-time but seeking full-time employment.

Three years into the economic crisis, economists predict a painful unemployment rate of about 21% throughout 2011.

Gallup poll points to worsening employment figures in US


It never really got better. The only reason it appeared better is because millions of people quit looking for work and are no longer counted in the labor force.
 
I would rather see higher food prices than higher gas prices.

With expensive food all the money is circulated inside the USA creating jobs. That leaves less for people to spend on foreign crap that sends our dollars & jobs out of the USA.

With expensive gas most of our money goes directly out of the USA taking jobs with it. The money also goes to our enemies.
 
I would rather see higher food prices than higher gas prices.

With expensive food all the money is circulated inside the USA creating jobs. That leaves less for people to spend on foreign crap that sends our dollars & jobs out of the USA.

With expensive gas most of our money goes directly out of the USA taking jobs with it. The money also goes to our enemies.


High gas prices "fuel" higher food prices. In the U.S., a significant portion of food costs is comprised of transportation.
 
Good news for obama unemployment number will be shown as droped at the end of the month
One Million Exhausted Jobless Benefits in Past Year.


Roughly 1 million people in the U.S. were unable to find work after exhausting their unemployment benefits over the past year, Labor Department data released Thursday suggest.

Economists said the back-of-the-envelope calculation is yet another sign that the labor market remains weak.

One Million Exhausted Jobless Benefits in Past Year - Real Time Economics - WSJ
 
Lordy, lordy.

Oil prices are rising as demand from Asia creates increasing pressure on a supply that has nearly peaked out. New discoveries are way behind use.

Almost every year for the last decade, the world grain reserves have shrank, even as population increased. And the increaingly wierd weather has started to decrease those reserves even further.

We shipped much of our manufacturing overseas, even as we kept the real earnings of the previously blue collar middle class worker at the same level for almost 30 years. This has been very nice for the very wealthy, and, of course, they deserve another tax break for managing this so well, but now most of the previous blue collar middle class have joined the working poor.

Now, much to all of the numbnuts surprise, the cost of food and fuel is ramping up. Even as wages and real income is declining for most of us.

Of course, I am still doing very well, so I should be telling all of you with problems that you are a bunch to dumb asses, and don't deserve to be able to buy both food and fuel, correct?

Well, hang on folks, this ride has only began.



At last! You and I agree on something!
 
Don't Mean To Be Rude, But The Economy Sucks

Don't Mean To Be Rude, But The Economy Sucks
Henry Blodget

In the past couple of months, a disconnect has developed between the perception of the US economy and the reality.

The perception is that everything's just fine: The continuation of a solid if unspectacular recovery that began in the summer of 2009. Stocks continue to rise. Corporate profits continue to boom. The unemployment rate continues to tick down. Wall Street continues to coin money.

But the reality is that the recovery has never been strong and that many key metrics have recently turned south--despite the fact that the government still has its foot stomped on the stimulus gas.

What metrics have turned south?

Well, first and foremost, GDP growth.

We learned this morning that the economy grew at a pathetic 1.8% in Q1. That's way below the 3%-4% rate that most economists consider normal. And it's miles below the 5%-7% growth that normally follows a recession as sharp and severe as the one we just had.

Meanwhile, the Fed still has interest rates parked at zero, and is still conducting emergency stimulus measures like QE2. And the government's huge stimulus package from 2009 is still driving spending. And we're still spending an absolutely mind-boggling ~$1.5 trillion per year more than we take in (federal deficit)--and piling up humongous debts in the process. And, needless to say, none of this spending--"stimulus" or just normal spending we can't afford--has produced the desired private-sector growth.

1.8% GDP growth in the face of massive stimulus is the equivalent of your car sputtering down the highway at 45 miles per hour while you have the gas pedal floored. You might be glad that the car hasn't broken down completely, but you certainly won't conclude that all is well. And you also might conclude--wisely--that if 45 is the best you can do with the gas pedal floored, things may be about to get a whole lot worse.

And it's not just growth that blows.

In the past few weeks, initial jobless claims have ticked back above 400,000 per week, considerably higher than economists expected...
It goes on and on from there, worse with each paragraph.
 
Rising food prices = less money to spend on DVD's, refrigerators, cars, clothes, whatever
Rising gas prices = less money to spend on DVD's, refrigerators, cars, clothes, whatever

Less money spent on everything but food and gas = exploding inventories
exploding inventories = layoffs and unemployment

rising unemployment = recession

Sound familiar? Well 2011 is starting to look more and more like the start of the next recession. Have you seen the price of food lately? Gas? It costs me more than $1.00 more a gallon than 2 months ago. My aunt says she bought groceries this week and it cost her $60 for what she got for $45 a month ago. Retailers were absorbing rising material costs and it was eating into their margins. They have no margin now so they have to raise prices. We are at a point of criticality here and what happens, gas goes up again!!!
 

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