Economy News
US Spending Sees March Consumer Sales Rise 3.9%
ECONOMY April 11, 2012 | 12:14 PM
- S&P Retail Index up 0.8% in March
- Apparel, discount, department stores see year-on-year increases in March
- Retailers believe April sales will slow; International Council of Shopping Centers says sales could rise 3% - 4%
Earlier Easter preparations and spring temperatures stirred a spending frenzy as March sales rose for the 13th time in fifteen months. March sales rose 3.9% according to Retail Metrics, a figure higher than the 3.3% analysts were seeking.
Excluding Walgreen's decline, March's total sales reached 6.5%.
Read more »European Production Falls, Recession Fears Brew
ECONOMY March 26, 2012 | 11:10 AM
- Europe's PMI falls to 48.7, further contraction will indicate recession
- Output drops in manufacturing and service industries
- ECB urges governments to make fiscal changes
Production in Europe's manufacturing and service industries fell in March, suggesting that the eurozone may be sliding back into a recession.
According to private firm Markit Economics, the purchasing managers index, or PMI, for both industries combined fell to a three-year low of 48.7 from 49.3 in February.
Read more »Florida: Sunshine State’s Tourism Market Brighter Than Ever
ECONOMY March 6, 2012 | 11:15 AM
- Record 85.9 million visitors came to Florida last year
- Florida tourism continues to outpace rest of US
- Florida hotel room occupancy rates up 7% so far in 2012
Florida’s tourism marketing arm Visit Florida reports that regional tourism reached record highs in 2011, logging more visitors than ever: The “Sunshine State” lured 85.9 million travelers last year, exceeding the previous high of 84.5 million in 2007.
There were increases in travel from across the board, including US residents from in-state, from out of Florida and a jarring jump in oversea visitors. Chris Thompson, the agency’s president and chief executive, pointed out that these visitors came despite what he called “challenging economic times.”
Read more »Prices Rise, Consumer Spending Remains Low in US
ECONOMY February 21, 2012 | 2:07 PM
- Prices up 0.2% last month, lower than predicted
- Core inflation expected to rise 1.6% but remain below 2%
- Prices likely to stabilize as employment increases
Consumer prices in the US increased by 0.2% last month, a figure slightly lower than expected.
The Consumer Price Index, or CPI, is the broadest of three price gauges by the US Labor Department and includes both goods and services. The current rise in consumer prices is due to higher gas, food, rent and clothing prices.
Read more »US Adds Jobs, Unemployment Drops to 3-Year Low
ECONOMY February 8, 2012 | 10:19 AM
- Unemployment drops to 8.3%, lowest since February 2009
- Nasdaq Composite hits 11-year high; Treasury debt prices fall as investor expectations change
- Political scientists expect employment news to boost Obama's campaign
The jobless rate in the US has dropped to 8.3%, marking the lowest rate in three years, according to US Labor Department data.
Growing at a rate of 200,000 jobs per month, the economy is looking up. Prior to the latest unemployment data, economists had expected stagnant employment growth in January.
Read more »US Production Spikes, Creating American Jobs
ECONOMY January 23, 2012 | 9:26 AM
- Factory output grew 0.9% last month
- World Bank reduces 2012 growth forecast to 2.5% from 3.6%
- US factories hire 23,000 workers — best job growth since July
American factory output of vehicles, computers and construction material grew last month, resulting in a 0.9% increase in output, according to data released by the Federal Reserve.
Total industrial production, including mines, utilities and factories, grew 0.4% last month. Fourth quarter industrial output was up 3.1% annually for a tenth quarter of consecutive growth.
Read more »Europe Gets New ECB Loans to Promote Lending
ECONOMY December 27, 2011 | 2:33 PM
- European Central Bank lending banks a record $645 billion
- EU needs over $1 trillion to repay debt
- EU consumer confidence falls for the 6th-consecutive month
The European Central Bank is lending its banks a record $645 billion to retain credit flow and encourage banks to give loans to businesses and households.
This new cash flush exceeds the $577 billion lent two-years ago, and is part of the largest European loan operation ever. The money is being lent at the current benchmark interest rate of 1%, with Barclays estimating that the project will release $252 billion into the European economy.
Read more »US Medicaid Takes 25% of State Spending, Eligibility Improves
ECONOMY December 19, 2011 | 4:37 PM
- 14 US states spent more than 25% of overall expenditure on Medicaid
- Medicaid spending totaled over $398 billion for 2011, 10% more than last year
- North Carolina is overpaying for Medicaid because of issues with new billing system
Overall US state spending on Medicaid has increased this year to nearly 25%, while education funding has dropped by 20%, according to a report by the National Association of State Budget Officers (NASBO).
The NASBO report shows that 12 states have spent more than 10% on Medicaid, while 14 US states spent over 25% and California has spent up to 40% this year. Meanwhile, in Maine, Nebraska and New Mexico, Medicaid spending dropped due to a decline in federal funding.
Read more »Eurozone Debt Crisis: Credit Agricole to Cut 2,350 jobs
ECONOMY December 15, 2011 | 3:52 PM
- Credit Agricole stocks fall 52% in 2011, third-quarter profit down 65%
- Global banking sector sheds 120,000 jobs in 2011
- Moody’s downgrades top three French banks
France’s third-biggest bank Credit Agricole has announced plans to let 2,350 of its employees go, mostly from its investment-banking sector, in an effort to cut costs in the face of the Eurozone debt crisis.
Among the cuts are 600 jobs in Credit Agricole’s factoring and consumer finance branch and 1,750 jobs at its corporate and investment bank, which has a staff of 13,000 total. Among the 1,750 corporate and investment positions to be axed, 500 will be cut in France.
Read more »EU Manufacturing Drops, Causes Higher Unemployment
ECONOMY December 6, 2011 | 5:02 PM
- European PMI falls to 46.4, lowest rate since 2009
- Manufacturers cut jobs due to low sales, unemployment rises to 10.3%
- Czech and British factories slow output, German manufacturing declines
- Reuters poll: 60% chance of EU recession
Europe's manufacturing sector fell in November at its fastest pace in 28 months, with production and new orders down to levels not seen since the height of the credit crisis in mid-2009.
Markit's, a financial services firm, Purchasing Managers' Index (PMI) for the Eurozone fell from 47.1 to 46.4 in November, marking the lowest PMI since the summer of 2009. A PMI under 50 marks a contraction, while anything above suggests growth. This is the Eurozone's fourth consecutive month below 50.
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