Economic news

[ProSense]

Consumer sentiment up more than expected

December reading of index jumps to highest level since January 2008

NEW YORK — U.S. consumer sentiment rose more than expected in early December while an index of current conditions jumped to its highest level since January 2008, a survey released on Friday showed.

The Thomson Reuters/University of Michigan's preliminary December reading on the overall index on consumer sentiment came in at 74.2, up from 71.6 in November.

That was the best level for sentiment since June and the third-highest level since the start of 2008, according to the survey. It was also above the median forecast of 72.5 among economists polled by Reuters.

At the same time, the survey's barometer of current economic conditions rose to 85.7 versus 82.1 in November, and it was above a forecast of 83.1. It was also the highest reading since January 2008, just after the economic downturn began.

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Trade Gap Narrows as Exports Surge

The U.S. trade deficit narrowed in October, as exports surged to their highest levels in more than two years and the trade gap with China shrank.

The total U.S. deficit in international trade of goods and services contracted more than 13% to $38.71 billion from a revised $44.60 billion the month before, the Commerce Department said Friday. The September trade gap was originally reported as $44.00 billion.

Economists surveyed by Dow Jones Newswires had predicted a $44.0 billion trade gap.

The U.S. trade deficit with China narrowed 8.3% to $25.52 billion as exports to the country surged 29.8% to a record high of $9.30 billion and imports fell slightly to $34.82 billion.

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[Speck Tater]

1. And in other news...

No end in sight to U.S. economic crisis as 'scariest jobs chart ever' shows post-recession unemployment is at its worst since World War Two

Read more: http://www.dailymail.co.uk/news/article-1336078/Post-recession-unemployment-scariest-job-chart-worst-WW2.html#ixzz17irPHNSd

As unemployment in the U.S. nears the dreaded 10 per cent mark, it is a chart to chill the bones of any job hunter.

Comparing previous recoveries from all 10 American recessions since 1948 to the current financial crisis, the stark figures show almost no improvement in employment figures in the past year.

Gasoline: $3 by Christmas and a 'Mini-Apocalypse' in Spring?

See full article from DailyFinance: http://srph.it/hgQ6p6

With crude oil prices at the highest level in more than two years, holiday shoppers face the agony of $3-a-gallon gas this holiday season -- and much higher prices likely by springtime. "It now look as if December 2010 is probably going to be the most expensive month for gasoline in the U.S. since September 2008," says Tom Kloza, chief oil analyst at Wall, N.J.-based Oil Price Information Service.

U.S. Military Prepares for Economic Collapse

Skeptics who continue to assert that the economic plight of the United States has been overstated need not look further than the Pentagon to find out just how wrong they are. CNBC has learned that the Pentagon is currently playing out “war games” pertinent to an American economic meltdown.

According to CNBC, “The Pentagon is planning for real economic threats to America.”

CNBC’s Business News analyst Eamon Javers explains:

Ever since the crash of 2008, the Defense Intelligence establishment has really been paying a lot of attention to global markets and how they could serve as a threat to U.S. National security interests. At one upcoming seminar that we’re going to see here next month, they’re going to be taking a look at a lot of the issues … the use of sovereign wealth funds to manipulate markets, currencies; nation state economic collapse, sovereign default, nation state instability; U.S. Allies’ budgets, deficits, national security infrastructures.

more at: http://www.thenewamerican.com/index.php/usnews/politics/5418-us-military-prepares-for-economic-collapse

[Tuesday Afternoon]

2. nice juxtaposition. thanks.

[ProSense]

3. "U.S. Military Prepares for Economic Collapse"

"CNBC has learned that the Pentagon is currently playing out “war games” pertinent to an American economic meltdown."

Run for the hills.

[DemocratSinceBirth]

4. The Big Type Is Calling Me

The truth is we are in the midst of a tepid recovery however a robust one is what is really needed to bring down unemployment.

If the "Grand Compromise" falls apart I predict there will be a panic on Wall Street, followed by a panic on Main Street, followed by a douple dip recession.

Not because the "Grand Compromise" is so good but if it fails, we won't have an "effective president", taxes will rise, the unemployed will suffer, and there will be chaos...

[ProSense]

5. This is how these reports have always been written, and

"The truth is we are in the midst of a tepid recovery however a robust one is what is really needed to bring down unemployment."

...you're right.

I think these idicators show that things are still moving into more positive territory, not going in reverse.

[DemocratSinceBirth]

6. But Not Fast Or Strong Enough To Bring Down Unemployment

At 2% to 2.5% GDP growth unemployment will not come down... No matter how much you hate "The Grand Compromise" you will be hard pressed to find an economist who says it will not help the economy...

[ProSense]

7. I agree, but

at the same time, see above: "U.S. Military Prepares for Economic Collapse"

These reports offer some perspective.