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Title: Fed Says U.S. Economy Gains Strength in 10 of 12 Regions
Source:
Bloomberg
URL Source: http://www.bloomberg.com/news/2010- ... egions-as-hiring-improved.html
Published: Dec 1, 2010
Author: Bloomberg
Post Date: 2010-12-01 14:59:36 by go65
Keywords: None
Views: 2227
Comments: 7
The Federal Reserve said the economy gained strength across much of the U.S. as hiring improved, manufacturing expanded and retailers anticipated a stronger holiday shopping season. Five Fed banks, including Boston and San Francisco, said the economy grew “at a slight to modest” rate, while five others, including New York and Chicago, reported a “somewhat stronger pace of economic activity.” Conditions were reported as “mixed” in the Philadelphia and St. Louis regions. The report, based on anecdotal information, signals an improvement in the economy after sluggish growth in the summer prompted the Fed last month to announce $600 billion in asset purchases to help cut unemployment persisting near 10 percent. The positive outlook from 10 banks contrasts with the October report in which eight Fed banks, including San Francisco and Chicago, reported growth. At the time, the Philadelphia and Richmond Fed banks said their economies were “mixed” while the Cleveland region “held steady” and the Atlanta district “remained slow.” The Beige Book report released today reflects information collected on or before Nov. 19 and summarized by the Cleveland Fed. The survey will be considered by Federal Open Market Committee policy makers before their next meeting on Dec. 14, when they will review their asset purchase program. The Fed’s Nov. 3 decision to undertake new bond purchases sparked a political backlash. Last month, two Republicans, Tennessee Senator Bob Corker and Indiana Representative Mike Pence, proposed removing the Fed’s full employment mandate to focus the central bank on stable prices alone. Corker plans to introduce legislation next year. ‘Pace of Recovery’ At its November meeting, the Fed said “the pace of recovery in output and employment continues to be slow” and that household spending remains constrained by “high unemployment, modest income growth, lower housing wealth, and tight credit.” “Hiring activity showed some improvement across most Districts,” the report said today, adding that “employers are waiting for clearer signals of expanding business prospects before adding significantly to payrolls.” The Labor Department will report Dec. 3 that the economy added 145,000 jobs in November, according to the median forecast of a Bloomberg survey of 80 economists. The unemployment rate will remain unchanged at 9.6 percent, they estimate. Improved Spending Eight Fed districts reported improving retail spending. Boston, Cleveland, St. Louis and Richmond said results were mixed. “Expectations for the holiday shopping season were generally positive,” the report said. Consumer confidence rose in November to the highest level in five months, the New-York-based Conference Board said this week. The average shopper in the U.S. spent 6.4 percent more over Thanksgiving weekend than last year as more people picked up jewelry and toys at the start of the holiday season. About 212 million shoppers went to stores and websites over the weekend, on average spending $365.34, according to the National Retail Federation. “Housing markets remain depressed, with several Districts reporting further weakening during the past six weeks,” the Fed said. Last month the National Association of Realtors said home purchases dropped 2.2 percent to a worse- than-expected annual rate of 4.43 million. Sales of new homes remain depressed as well, the Commerce Department said last month. New home sales in October of 283,000 at an annual rate were only slightly higher than the all-time low of 275,000 in August. ‘Fairly Stable’ Wage pressures were “contained” and prices “were fairly stable across Districts despite rising input costs, especially for agricultural commodities, metal, and fuel,” the Fed said. The Fed’s preferred gauge of inflation, the personal consumption expenditures index, excluding food and energy, rose 0.9 percent in October from a year earlier, the lowest rate of inflation in data going back to 1960. Including food and energy, prices rose 1.3 percent, below the goal of “2 percent or a bit below” that Bernanke expressed in an October speech in Boston.
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#1. To: All (#0)
DJIA is up about 250 right now.
why do you post these stupid pieces about economic recovery? There will be no economic recovery until factories and reactors are built.
Long live the Taliban Freedom Fighters!
Quit being such a jerkwad, jerkwad.
shutup Freddy. you're an ignorant serf. You ought to be ashamed of yourself, considering your heritage.
Long live the Taliban Freedom Fighters!
How are the unemployment figures? How were Black Friday sales? How is the housing market, LIBERAL PUSSY?
The FedRes is a private corp. And they are lying: http://theautomaticearth.blogspot.com/2010/11/november-30-2010-little-help-from.html ... From a Friend, Ilargi, 12/1/10. On the implications of WIkiLeaks for the financial system. Too much faith in WikiLeaks, in my opinion, but this part is good. Every single bail-out we've witnessed since 2007 carries that same signature. And there is one thing besides the political power structure prevalent in the entire western world that people should take away from this. That is that the financial situation of the major banks, the same ones who have such a firm grip on power, is much worse than most realize. That is to say that normal debt restructuring, the kind that has been de rigueur throughout modern history, and that many voices are presently clamoring for, can and will not be used today because it would directly and immediately mean the end of many if not most if not all of the main banking institutions. More ominously, there is another aspect to this: it's not just the banks that are much poorer than we know or think. The same holds true for our governments, our insurance companies, our pension funds and last but not least for ourselves. If we would mark all assets to market, we ourselves would be marked down enormously, make no mistake. In a world where 95%+ of the money supply consists of credit, and where credit is seizing up, you don’t have to be a math genius to figure out what happens when it evaporates almost entirely. The ramp up you saw in the markets yesterday is the acceleration of the Top 50 000 into the Timewall. Frontline, a BDI component: http://finance.yahoo.com/q/bc?s=FRO&t=5 ... z=l&q=l&c= The BDI itself: http://www.investmenttools.com/futures/ ... _index.htm Falling like a rock to Mar 09 lows. March Crude at $88 now. Grains up 40 cents a bushel. Ten Years above 3%. The above is a sure fire BuzzKill on the US Economy.
CO set a new 0-filter speed record for me.
On January 3, 2011 the GOP assumes responsibility for deficit spending.
#2. To: go65 (#0)
#3. To: continental op (#2)
#4. To: Fred Mertz (#3)
#5. To: go65 (#1)
DJIA is up about 250 right now.
#6. To: go65 (#0)
#7. To: Fred Mertz (#3)
Quit being such a jerkwad, jerkwad.
On January 3, 2011 the GOP assumes responsibility for deficit spending.
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