The US labor market continues to improve. Employers added 236,000 nonfarm jobs in February, beating economists’ expectations by a long shot, with nearly every industry (except government) adding payrolls. Hourly wages expanded and outstripped inflation, rising 2.1% year-over-year compared to a 1.6% increase for the CPI. The headline-grabbing unemployment rate ratcheted down from 7.9% to […]
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Are the Days of Easy Money and Low Interest Rates Over?
That’s the question many nervous investors are contemplating after the Federal Reserve hinted two weeks ago that it might end its quantitative easing (QE) policy sooner than analysts anticipated. Currently in its third round of QE since 2008, the Fed is essentially printing money (~$85 billion per month) to buy mortgage-backed securities and Treasuries from […]
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Small business outlook on the economy…
After a big dip in confidence last November, small business owners are increasingly optimistic about the US economic outlook, and many plan to accelerate hiring and spending during the next twelve months. Over one-third of some 800+ small business CEOs polled in a Wall Street Journal/Vistage survey earlier this month said they are planning for […]
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The US government posted a $3 billion budget surplus in January.
The US government posted a $3 billion budget surplus in January. Yes, you read that right. For the first time since 2008, the government collected more revenue than it spent. Although this tiny monthly surplus does little to reverse the $290 billion deficit accumulated since October 2012, the fact that there was a monthly surplus […]
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After a weak holiday season, shoppers returned to stores….
After a weak holiday season, shoppers returned to stores in January to take advantage of steep discounts. With the “fiscal cliff” averted, a rebounding housing market, and a stream of positive economic data that pushed the S&P 500 to a five-year high, consumers were more willing to open their wallets last month. According to a […]