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In the first quarter, real non-residential construction activity is estimated to have declined at a record annualised 44% rate, which subtracted approximately two full percentage points from GDP growth in the quarter.
-Ex-Autos, (+2.3%), sales grew 0.3%. -Ex-Gasoline, sales gained 0.3%. Back out both autos and gas, and sales in June fell 0.2% — the fourth straight monthly decline.
Goldman Sachs
executives sold almost $700 million worth of stock since the collapse
of rival Lehman Brothers last year. Most of the stock sales took place while the
biggest U.S. investment bank was bailed out by the government with $10
billion of taxpayer money
The U.S. government rang up a $94.32 billion budget deficit in June, a record for the month, as the price tag for efforts to prop up the economy, banks and automakers mounted while revenues weakened.
The Treasury Department said on Monday that June marked the ninth straight month in which the government had run a deficit. In June 2008, the budget enjoyed a $33.55 billion surplus.
Through the first nine months of fiscal
Severe budget crunches afflicting U.S. states will put the brakes on
the national economy by as much as seven-tenths of a percent of Gross
Domestic Product in the next 12 months, according to a Goldman Sachs
report.
Nine months into the fiscal year, the federal deficit has topped $1 trillion for the first time ever.
The imbalance is intensifying fears about higher interest rates and inflation, and already pressuring the value of the dollar.
You would think that the entire nation is in trouble because of banks, insurance and health care issues. From the statements of our leaders to the national news it would seem we are tottering on the lip of financial debt that would and co
Read Letter
It looks like one can make an honest living out of frivolous lawsuits.
Last
Wednesday, an article was published revealing that our Federal
government was hit with 489,000 lawsuits stemming from the 2005 Katrina
disaster totaling $3,014,170,389,176,41. That's 3 + QUADRILLION
dollars. Being a math teacher, I occasionally come across very large
numbers (not when counting my paycheck), but even I had forgotten what
comes after a billion. Because of this beyond-astronomical number, I
will not likely soon forget that it is quadrillion.
After
my initial shock at such an unfathomably huge dollar amount that was, I
did the math to find the AVERAGE amount of each lawsuit, hoping this
would bring the number into the realm of reasonableness--it didn't.
With 489,000 claims, that comes out to a staggering 6,163,947,626 per
person. THAT'S 6.1 BILLION DOLLARS EACH FOR ALMOST HALF A MILLION
PEOPLE!!!!! That's equivalent to EVERYONE in Atlanta, Georgia
The first manifestation of [resistance] will be huge growth in the
“counter-economy” as the productive class moves more and more of its
activity “off the books” and out of the political class’s systems of
taxation, tribute and regulation.
13% unemployment means we should buy stocks right? That's not only more than 30% above where it is now, how much consumer spending will another 30% added to unemployment count for? How much will it subtract from GDP...
We are six months on and the only thing that has subsided is that abject fear of a few months past. In the meantime the bad news just keeps rolling in as unemployment and prime foreclosure inventory climbs. In the meantime take a sober look at his agenda as seen through the eyes of Rex Murphy and understand that what is been shoveled into the system is decidedly odd and perhaps completely misses the point of the present economic catastrophe. In fact it has nothing to do with it.
In a recession this deep, recovery doesn't depend on investors. It depends on consumers who, after all, are 70 percent of the U.S. economy. And this time consumers got really whacked. Until consumers start spending again, you can forget any recovery, V or U shaped.
Under normal circumstances, Goldman Sachs might be afforded a moment of gloating as it struts toward what could
be a banner earnings announcement just 9 months after being roiled
by Wall Street's worse crisis since the Great Depression. But these aren't ordinary times for the biggest U.S. investment
bank, which lately has faced a torrent of unwanted publicity stemming
from
"I don't think the worst is over," Summers told the Financial Times. "It's very likely that more jobs will be lost. It would not be surprising if GDP has not yet reached its low."
As I have pointed out in The Ticker previously, we're carrying huge books of loans at or very close to "par" - that is, 100 cents on the dollar, despite the fact that when these things trade at all nowadays they are trading for pennies...
American International Group's
recent discussions with President Obama's compensation czar have
centered on whether the company should pay about $250 million in
promised bonuses that come due during the next nine months.
The Obama administration is developing an initiative to take money from
the $700 billion rescue program for the banking system and make it
available to millions of small businesses, which officials say are
essential to any economic recovery because they employ so many people,
according to sources familiar with the plan.
Comedy Video.
Lasting worldwide recovery "is still a ways off," President Barack Obama declared Friday, but he also said at the conclusion of a global summit that a disastrous economic collapse apparently has been averted.
The U.S. trade deficit fell to the lowest level in more than nine years
in May as exports posted a small gain while the weak American economy
pushed imports down for a 10th straight month.
Stocks were mostly lower in midday trading Friday as investors shed
positions in energy, industrial companies and banks. Both the Dow and
the S&P 500 headed toward their fourth straight week of losses —
the longest losing streak since the market's rally began in March.
"We've never been more dominate. We never had more natural advantages than we have today. We sort of become a nation of whiners." Phil Gramm July 9, 2008
Note how the combined claims is twice as bad as the recessions is 1975 and 1982. Also note how the reported headline numbers were understated in the last recession. This is how manipulated the reporting is.
A whirlwind 40-day bankruptcy for GM concluded with the closing of a deal that sold key operations to a new company that is majority-owned by the U.S. Treasury.
U.S. Treasury Secretary Timothy Geithner proposed clamping down on dealers in freewheeling markets for little-understood derivatives that helped create a crisis in U.S. and world financial markets.
The U.S. Treasury Department allowed 11 smaller banks to repurchase stock warrants at only 66% of their market value, passing up about $10 million of taxpayer profits from government bailouts.
The Congressional Oversight Panel said the government could lose $2.7 billion if it accepts similar valuation levels on warrants repurchased by remaining banks that received government capital injections.
American International Group
is preparing to pay millions of dollars more in bonuses to several
dozen top corporate executives after an earlier round of payments four
months ago set off a national furor.
It is amazing how failure can make people lose hope in Mr. Popularity’s promised change. The Rasmussen Reports daily Presidential Tracking Poll for Thursday shows that 30% of the nation’s voters now Strongly Approve of the way that Barack Obama is performing his role as President. Thirty-eight percent (38%) Strongly Disapprove giving Obama a Presidential Approval Index rating of –8. The President’s Approval Index rating has fallen six points since release of a disappointing jobs report last week (see trends). Thirty-nine percent (39%) now give the President good or excellent marks for handling the economy while 43% say he is doing a poor job. Those are by far his lowest ratings yet on the economy … Overall, 51% of voters say they at least somewhat approve of the President’s performance so far. Forty-eight percent (48%) now disapprove. Wow, Barack! Looks like you own the recession! The ol’ days of blaming Bush seem to be over.
The recipients of billions of dollars in IOUs being issued by California soon may have a regulated market where they could sell them. A regulated market for the IOUs would make it easier for individuals holding them to sell them at a fair price, analysts said.
President Warren Gamaliel Harding's reaction to the extreme recession of 1921: Cut federal spending by half, cut federal taxes by a third, and pay off debt. The Federal Reserve's reaction during this time, from what I've read, nothing at all. The results: A landmark case and impeccable example of how rational economics without government interference is the only viable solution.
