U.S. Has Been Hit With a Barrage of Negative Economic Data

"The Obama Economic Recovery Continues To Lumber Forward With All The Momentum Of A Blind, Three-Legged Elephant." (Editorial, "The Obama Recovery," Las Vegas Review-Journal, 8/8/10)
OBAMANOMICS: DEFICIT OF HOPE
JobsBLS Reported That The U.S. Lost 131,000 Jobs In July. (U.S. Bureau of Labor Statistics, BLS.gov, Accessed 8/6/10)

• Because The Private Sector Only Created 71,000 Jobs. ibid
• And The Unemployment Rate Remains At 9.5 Percent. ibid

Since The Stimulus Was Passed, The U.S. Has Lost Over 2.5 Million Jobs. ibid

• Since The Stimulus Was Passed, 64,000 Government Jobs Have Been Gained; Meanwhile, The Private Sector Has Lost 2.52 Million Jobs. ibid

44.9% Of Those That Are Unemployed, 6.57 Million Workers, Have Been Looking For Work For Over 27 Weeks. ibid

The True Unemployment Rate, Which Includes Those That Are Working Part-Time But Want Full-Time Work, Is 16.5%. This Means 1 In 6 Workers Is Either Unemployed Or Under-Employed. (Bureau Of Labor Statistics, "The Employment Situation - July 2010," BLS.gov, 8/6/10)

Job Openings Fell In June, A "Sign That Hiring Isn't Likely To Pick Up In The Coming Months." "Company job openings fell for the second straight month in June, a sign that hiring isn't likely to pick up in the coming months. The Labor Department says job openings at businesses fell to 2.54 million from 2.6 million in May. Overall openings were unchanged, as government openings ticked up." ("Company Job Openings Drop For 2^nd Straight Month," The AP, (8/11/10)

"The Employment Picture Is Looking Bleaker As Applications For Jobless Benefits Rose Last Week To The Highest Level In Almost Six Months. It's A Sign That Hiring Is Weak And Employers Are Still Cutting Their Staffs." ("New Claims For Unemployment Aid Reach 484K," The AP, 8/12/10)

• "First-Time Claims For Jobless Benefits Edged Up By 2,000 To A Seasonally Adjusted 484,000, The Labor Department Said Thursday. Analysts Had Expected A Drop. That's The Highest Total Since February. ibid

GDP2^nd Quarter GDP Could Be Revised Down From 2.4% To 0.3%. "The U.S. trade deficit widened in June, and the new numbers released this morning indicate that second-quarter growth was even more anemic than the originally reported 2.4% annual rate. Last week, updated figures on inventories indicated that gross-domestic-product growth in the second quarter would be revised lower -- to around 1.7%. Today's data on trade suggest the revised figure may be closer to 1%, or even as low as 0.3%." (Phil Izzo, "Second-Quarter Growth Looking Even Worse," The WSJ's "Real Time Economics," Blog, 8/11/10)

DeficitJuly's Budget Deficit Was Over $165 Billion, The Second Highest Deficit For July In History. "The U.S. government spent itself deeper into the red last month, paying nearly $20 billion in interest on debt and an additional $9.8 billion to help unemployed Americans. . . The $165.04 billion deficit, while a bit smaller than the $169.5 billion shortfall expected by economists polled by Dow Jones Newswires, was the second highest for the month on record. The highest was $180.68 billion in July 2009." (Jeff Bater And Darrell A. Hughes, "Deficit in July Totals $165.04 Billion," The WSJ, 8/11/10)

ForeclosuresForeclosures Are Up Six Percent Compared To July 2009 With Lenders Repossessing Over 92,000 Homes Last Month. "The number of U.S. homes lost to foreclosure surged in July, another sign lenders are moving quicker to take back properties from homeowners behind in payments. Lenders repossessed 92,858 properties last month, up 9 percent from June and an increase of 6 percent from July 2009, foreclosure listing firm RealtyTrac Inc. said Thursday." (Alex Viega, "Homes Lost To Foreclosure Up 6% From Last Year," The AP, 8/12/10)

Foreclosures Are Now Not Expected To Peak Until 2011. "If you're waiting for relief on the foreclosure front, keep waiting. RealtyTrac says foreclosure notices rose 4% last month, the 17th straight month filings have exceeded 300,000. And RealtyTrac's Rick Sharga tells MarketWatch News Break that foreclosures may not peak until 2011." ("Realtytrac: No Foreclosure Peak Until 2011," MarketWatch , 8/12/10)

"Still, Realtytrac Estimates More Than 1 Million American Households Are Likely To Lose Their Homes To Foreclosure This Year." (Alex Viega, "Homes Lost To Foreclosure Up 6% From Last Year," The AP, 8/12/10)

AND THE ECONOMY IS NOT EXPECTED TO IMPROVE ANYTIME SOONThe Federal Reserve Said Tuesday That The Economic Recovery Is "More Modest" Than Expected. "The Federal Reserve, facing an economic recovery that it termed 'more modest' than anticipated, said Tuesday it will stop shrinking its huge portfolio of securities by reinvesting the proceeds of maturing mortgages in U.S. Treasury debt." (Sudeep Reddy, "Fed Sees Recovery Slowing," The WSJ, 8/11/10)

• The Federal Reserve's Grim Economic Outlook Sent Stocks For A Dive On Wednesday. "Stocks tumbled more than 250 points Wednesday amid light volume as investors continued to lose confidence in the strength of the global economy in the wake of the Federal Reserve's dimmer outlook and a decline in China's domestic economy." (Abby Schultz, "Stocks Head for Worst Close in Month," CNBC, 8/11/10)

The New York Times' Editorial Board: "The Fed's Statement On Tuesday Avoided The Words Deflation And Double Dip Recession. But The Markets Heard Them, Still, Because The Fed's Efforts Alone Are Unlikely To Steer The Nation Clear Of Those Dangers." (Editorial, "When The Fed Speaks," The NYT, 8/11/10)

There Is Fear Among Economists That U.S. "Could End Up With A Permanent Caste Of Long-Term Unemployed." "Some economists fear the U.S. could end up with a permanent caste of long-term unemployed, like those that weigh on government budgets in some European countries. 'It is a very worrisome development," says Steven Davis, an economist at the University of Chicago's Booth School of Business. 'It leads over a long period of time to social alienation as well as economic hardship.'" (Mark Whitehouse, "Some Firms Struggle To Hire Despite High Unemployment," The WSJ, 8/9/10

Companies May Find The Right Person To Hire, But Are Holding Off Hiring Until The Future Is More Certain. "Another part of the problem, said Jeff Joerres, chief executive of staffing firm Manpower, could be companies' renewed uncertainty about the economic outlook. 'It's not uncommon for us to get the right person for the job and the companies still drag their feet for a month or more, just to try to get better visibility for the future and to save another month of expense,' he said." (Mark Whitehouse, "Employers Moving Slowly To Fill Jobs," The WSJ, 8/11/10)

A Majority Of Leading Economists Say That It Will Be At Least 2015 Before Unemployment Falls To 5%. "It's going to take us years to dig out of this hole. In an Associated Press survey of leading economists, a majority said it would be at least 2015 before unemployment falls to 5 percent. It's a rare day when a group of economists agrees on anything. We're in deep trouble, and it's looking more and more likely that we're headed toward a dreaded 'double-dip' recession." ("Jobless Still Unheard In Washington," San Francisco Chronicle, 8/10/10)

NOT SURPRISINGLY, AMERICANS HAVE A PESSIMISTIC VIEW OF THE ECONOMY AND OBAMA52% Disapprove Of President Obama's Handling Of The Economy. (Hart/McInturff Poll, "NBC News/ WSJ Survey," 1000 Adults, MOE +/- 3.1%, 8/5-8/9/10)

68% Of Respondents Say That The Country Is In Worse Shape Or About The Same Since Obama Took Office. ibid

A Plurality Of Respondents, 38%, Say They Are "Not At All Confident" That President Obama Has "The Right Set Of Goals And Policies In Order To Be President." (ibid

• And A Plurality, 39%, Say That They Are "Not At All Confident" That President Obama Has "The Right Set Of Goals And Policies To Improve The Economy." ibid

64% Of Respondents Say That In The Next Year The Economy Will Stay About The Same Or Get Worse, Only 34% Believe That It Will Improve. ibid

• And 64% Believe That The Economy Has Not Hit Bottom Yet. ibid

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