That would be fine with us. The figures for unemployment remain high but mixed in here is a prediction for a small retreat in unemployment numbers. Rather than saying its better than nothing, we need to figure out what is going on precisely in different sectors of the economy and in different sectors of the country.
Notice that the price of oil is creeping up. Today it has passed $63 per barrel. I'm seeing the price of gas at some stations around here pointing towards $3 a gallon.
Futures are up. One might suspect with all of the various news articles in all media expressing the same end to the recession agreement, that investment interest would accelerate.
We shall see.
Check out the clip below - Dr. Doom...
Reuters: Stocks set to open higher on economy hopes
Sales of existing homes are expected to have risen at an annual rate of 4.66 million units, according to the median forecast of 66 economists polled by Reuters, as low interest rates, low home prices and government stimulus stir buying interest. The report is due at 10:00 a.m. EDT.CNN: Economists: Recession to end in 2009
...the group still expects to see a decline in second-quarter economic activity.
The panel forecast a total of 4.5 million jobs lost in 2009, pushing the unemployment rate to 9.8%. Modest gains in 2010 will reduce the rate to 9.3% by year's end, the report predicted.
3 comments:
OIL is all about the futures market again not demand or supply. The Feds are allowing this because they want to use high gas prices as a lever for other policy concerns like global warming and related issues like gas mileage standards. I hate to say this but low gas prices are bad for everyone in the long run. I say that even though I own 2 gas guzzlers I can't give away. I'm stuck like millions and I'm not asking for a Gov't bail out.
Excellent point. We need higher prices to start the movement towards more hybrids and all. Do you have any readings linking a government approval for a rise in oil? It would make an excellent post. I mean on the surface it makes great political sense for Obama and they do use large sectors as leverages.
The investors will all pretty much say oil is underpriced, at least they were saying that a few months ago. $80 per barrel is the number I've heard.
It is under priced to a degree. Still remember that demand is still falling because of the Recession world-wide. It's also falling because Gov'ts world-wide have started to move their economies to renewables, nukes, ethanol etc. They all know it's going to go north again and don't want the impact to be as profound next time around. of course our Gov't , which is so hamstrung by BIG self -interested Corps. (that all but own Congress), is moving much more slowly.
No, I have no source for that speculation, it just makes rational sense. If I were Obama and I had made all these promises about Climate and a green economy, how am I going to ever convince anyone to go along with $35 a barrel oil?
Post a Comment