Another positive signal for the economy today as it was revealed that the U.S. unemployment rate fell to 8.3 percent. The economy added 243,000 jobs, more than expected. What does this mean for the economic recovery? Joining the program is Kelly Evans from The Wall Street Journal.
The Federal Reserve announced its plan on Wednesday to keep short-term interest rates near zero through late 2014. The move signals that the Fed does not expect the economy to fully recover over the next three years. With unemployment still running high, the Fed expects the economy to expand between 2.2 and 2.7 percent over this year, instead of at 2.9 percent as originally projected.
Over the weekend, Libyan rebel forces took key positions near the capital of Tripoli, and last night they flooded into the capital and battled with loyalists to Col. Moammar Gadhafi. Rebels captured two of Gadhafi's sons, including Seif al-Islam, the assumed heir-apparent, while civilians celebrated in the streets over what may be the end of Gadhafi's 42 years in power of Libya. Meanwhile, in the United States, candidates who hope to capture the Republican presidential nomination continue to duke it out over who would lead the country best, and President Obama is preparing his jobs plan, which he'll unveil in a speech next month.
President Obama is departing today for his three-day bus tour through the Midwest, where he will stop in Minnesota, Iowa and Illinois. With his poll numbers slipping, Obama will be talking with Americans about ways to improve the economy and job growth. While Obama is on the road, Texas Governor Rick Perry, who announced this weekend that he will seek the 2012 Republican nomination, will begin fundraising for his campaign. As the race to for the presidency kicks up a notch, a Congressional twelve-member 'super committee' will begin work on a debt-reduction strategy, aiming to come up with a plan to reduce the deficit by $1.5 trillion by Thanksgiving of this year.
The stock market in the United States is expected to have another weak opening this morning, following yesterday's violent sell off on Wall Street and around the globe. Investors pulled their money from stocks and flocked toward Treasury bonds and precious metals like gold, which has risen to $1,669.10 an ounce. The European debt crisis and slow economic growth in the U.S. are leading to fears of a "double-dip" recession. Markets in Japan, Australia, South Korea, and Hong Kong all closed down around 4 percent. A jobs report from the Bureau of Labor and Statistics in Washington is expected to show unemployment continues to hover around 9.2 percent, a figure that has the potential to drive the economy lower.
"We do not believe there is a threat there of a double-dip recession. We believe that economy will continue to grow," White House Press Secretary Jay Carney said yesterday. But some economic indicators are painting a different picture. While the private sector added 114,000 jobs in July, layoffs in the U.S. reached a 16-month high. Meanwhile, the Department of Agriculture says the more Americans are receiving food stamps than ever before. The Pew Research Center released a study last month finding that women are having more difficulty than men re-entering the work force. All of this news comes on top of the figures released by the Commerce Department last Friday showing that the economy has only grown by a dismal 1.3 percent.
Job creation came to a near standstill in the month of June. New statistics out this morning from the Department of Labor show the economy added a scant 18,000 jobs last month, pushing the unemployment rate up to 9.2 percent — the fewest new hires in nine months.
This morning, the Greek Parliament voted in favor of a package of austerity measures that includes tax hikes and spending cuts. The vote comes despite two days of protests in Athens, where polls say 80 percent of Greeks were against the measures. The package is an effort to avoid defaulting via a second bailout from the European Union. The vote is being met with violence on the streets of Athens.
Dominique Strauss-Kahn is scheduled to return to court today to face arraignment in New York City. He is charged with raping a Manhattan hotel maid, the allegations shocked the world, especially France, where he was expected to be a strong contender for the presidency. Callie Crossley, host of The Callie Crossley Show, on WGBH in Boston says "I think this story is going to capture a lot of headlines for a long time." Kelly Evans, "Ahead of the Tape" columnist for The Wall Street Journal, looks at some key economic data coming out this week that could give us a clue at how the economy is doing.
The unemployment rate rose to 9.1 percent from 9 percent and only 54,000 jobs were added in May. What do these numbers mean for the economy? The Dow plummeted this week upon news of declining housing prices. Consumer confidence is in the basement. Interest rates are way down. Are we headed for a double-recession? Joining us is Kelly Evans, "Ahead of the Tape" columnist for The Wall Street Journal.
Stocks plummeted Wednesday after reports that the U.S. factory sector experienced its biggest one-month drop off in May since 1984. Weak factory sector figures, combined with dreary manufacturing data from around the world, and continuing high unemployment doesn't just present a political problem for the Obama White House. Some economists worry the economy could face a "double-dip" recession. "Financial crises are followed by slow recoveries," says Kelly Evans, "Ahead of the Tape" columnist for The Wall Street Journal.
The S&P/ Case Shiller index shows that housing prices in 20 areas fell in March, reaching a new low. "the reality is that housing activity, broadly speaking, is pretty depressed," says Kelly Evans, "Ahead of the Tape" reporter for The Wall Street Journal. The worry for the economy is a deflationary mindset in the housing market, which keeps people from buying and keeps the economy from growing.
The economy added 244,000 jobs in April, while unemployment rose to 9 percent, in part because people began looking for work again. Reporter for The Wall Street Journal and "Head of the Tape" columnist, Kelly Evans reports on what these numbers say about the economy.
The stock market has responded to an updated ratings outlook from Standard & Poor. The agency changed the outlook for the United States from "stable" to "negative," although the agency reaffirmed the nation's triple-A ratings. Kelly Evans, the Wall Street Journal's "Ahead of the Tape" columnist, explains what this means for the markets. According to S&P, the revised outlook reflects the U.S.'s "very large budget deficits and rising government indebtedness" relative to its triple-A peers. "The path to addressing these is not clear to us," S&P said.
Although 230,000 jobs have been added and the unemployment rate has dropped, we're not seeing an increase in average hourly earnings. What does this mean for the economy? The Wall Street Journal's "Ahead of the Tape" columnist, Kelly Evans, explains what this means for Americans who are still struggling economically as food and energy costs continue to go up.
The U.S. economy added a net 192,000 jobs in February, according to the latest Labor Department figures out Friday. The unemployment rate is now at 8.9 percent — the first time that figure has dropped below nine percent in nearly two years. Takeaway and WNYC economics editor, Charlie Herman and The Wall Street Journal's Kelly Evans look at the numbers.
The labor department announced that the unemployment rate has dropped to 9 percent following four months of consecutive growth; 36 thousand jobs have been added to the economy. That was significantly fewer jobs than anticipated; economists had forecast a rise by 136,000 jobs. Kelly Evans, reporter for The Wall Street Journal puts these numbers in context.
Employers added only 39,000 jobs last month — a big decline from October's 172,000. Private companies created the fewest number since January. The anemic month for the labor sector pushes the national unemployment rate from 9.6 to 9.8 percent. That's 19 months of a rate over 9 percent, the longest stretch on record. What do the new numbers mean for the economy?
Today the Labor Department reported 151,000 new jobs added to the economy — the most in five months. Some are saying this could be a sign that the country's financial situation is improving, and that the private sector could finally be gaining traction again. We're joined now by Wall Street Journal reporter Kelly Evans, who says it might help the labor market finally lift off.
Positive earnings reports from UPS, Caterpillar and other companies helped rally the stock market yesterday. The Dow was up by 201 points, hitting the highest mark in two weeks. Overseas growth looks positive as well and economists are eagerly waiting for the results of the European "stress test," which looks at the financial health of Europe's banks. Economics reporter for the Wall Street Journal, Kelly Evans, looks at the markets and what this rallying means for consumers.