Jobs Growth in U.S. Finally Takes Off

  Department of Labor figures demonstrate that in July jobs growth in the U.S. has finally taken off.  Specifically, the economy added 117,000 non-farm jobs.  This compares to economist expectations of only 75,000 jobs created. By the way, in case you are...

Are You Scared of Stock Market Falls?

  Today the Dow Jones Industrial Average fell 512.76 points, or 4.31%. This moment of market turbulence is similar to, though not as severe as, the Great Recession’s big market decline of early March 2009.  The primary similarity is that the “mood of...

Why the Stock Market is Falling

  Here is an overview of some of the dynamics driving the sideways to down stock market this year: Job creation remains anemic in the United States.  Without new jobs there cannot be incremental spending in our consumer driven economy.  Without incremental...

Consumer Spending Slows

  This morning the U.S. Department of Commerce reported that consumer spending fell 0.2% in June.  Meanwhile, consumer incomes rose 0.1%, and savings rose 5.4%. Analysis: All of these data suggest that the economic “game of chicken” between businesses...