NEW YORK (CNNMoney) — There are far more jobless people in the United States than you might think.
While it’s true that the unemployment rate is falling, that doesn’t include the millions of nonworking adults who aren’t even looking for a job anymore. And hiring isn’t strong enough to keep up with population growth.
As a result, the labor force is now at its smallest size since the 1980s when compared to the [...]
Warning to all investors. Reread Buffett’s warning: “There will be another bubble leading to a huge recession … I guarantee it.” But worse, this time, global macroeconomic trends threaten no-growth recovery, a long bear market, and long-term austerity. Start planning now.
CNNMoney: Banks Are Shutting Down More Branches Than They Open
America’s banks closed more branches than they opened last year, the result of government regulation, consolidation and the digital revolution.
Some of [...]
NEW YORK (CNNMoney) — Twinkie-maker Hostess Brands said Monday that it could go into liquidation if its bakers continue striking in protest against a new contract imposed in bankruptcy court.
The company announced Monday that it was closing bakeries in Seattle, St. Louis and Cincinnati in response to the strike, cutting 627 jobs in total. The bakers’ strike, which began last week, continued Monday at around 24 of Hostess’ 36 plants, [...]
EW YORK (CNNMoney) — As they struggle to save for retirement, a growing number of middle-class Americans plan to postpone their golden years until they are in their 80′s.
Nearly one-third, or 30%, now plan to work until they are 80 or older — up from 25% a year ago, according to a Wells Fargo survey of 1,000 adults with income less than $100,000.
Those who are unable to work as long [...]
CHINESE HARD LANDING
For decades, experts have been predicting a crash in China.
They warned that the centrally planned, export-dependent economy, could not sustain itself year after year.
But through multiple crises, China has motored along, lifting hundreds of millions of people out of poverty in the process.
But things appear to be different this time. Corporate profits are tanking, and the Shanghai Composite is at the same levels it was during the depths [...]
NEW YORK (CNNMoney) — In the new age of high speed trading, U.S. Treasuries could become the next flash crash victim.
High-frequency trading now accounts for roughly 40% to 50% of the daily volume in Treasuries, compared to a “negligible amount” just five years ago, according to research firm Tabb Group.
The enormous size of the Treasuries market makes it appealing to firms that make money from huge volumes of trades.
As with [...]
ANAHEIM, CALIF. (CNNMoney) — After four straight months of declines, consumer price inflation has finally edged up in China.
China’s annual inflation rate rose 2.0% in August, the government’s National Bureau of Statistics reported Sunday, up from 1.8% in July — a two-and-a-half year low.
Food prices, which account for more than a third of the inflation
calculation, rose 3.4% during the month.
Household finances in China are especially susceptible to fluctuations in food [...]
Factory owners: Federal prisoners stealing our business
By Emily Jane Fox @CNNMoney
August 14, 2012: 11:34 AM ET
NEW YORK (CNNMoney) — Just hearing the word Unicor is enough to make Kurt Wilson see red.
Unicor is a government-run enterprise that employs over 13,000 inmates — at wages as low as 23 cents an hour — to make goods for the Pentagon and other federal agencies.
With some exceptions, Unicor gets first dibs on federal [...]
NEW YORK (CNNMoney) — Facebook’s life as a public company has been a nightmare from day one, and the pain continued on Thursday as some company insiders got their first chance to dump shares.
Facebook stock fell nearly 7% in early trading Thursday morning, hitting a new intra-day low of $19.76.
About 22 million shares changed hands in the first 10 minutes, and within the first half-hour, that volume soared to 42 [...]
WASHINGTON (CNNMoney) -
Without help from Congress, the U.S. Postal Service is likely to default on a big bill due Wednesday to the federal government — $5.5 billion to prepay health care benefits for retirees.
Postal officials have said they’re bracing for default on the payment. They also don’t have the money to make a $5.6 billion payment due Sept. 30.
Congress alone has the power to help the service. The Senate passed [...]
NEW YORK (CNNMoney) — During tough economic times with high unemployment, Americans should be jumping at any chance to work, but trucking companies are struggling to hire drivers.
There are as many as 200,000 job openings nationwide for long haul truckers, according to David Heller, director of safety and policy for the Truckload Carriers Association.
The U.S. Bureau of Labor Statistics also sees the demand for truckers increasing, up from the 1.5 [...]
After spending years making devices and apps ever more irresistible, tech executives are urging staff and customers to seek balance and log off once in a while, reports the New York Times, which notes the trend is somewhat akin to makers of muscle cars warning buyers about the dangers of speeding. – Nikki Waller
Hate booking your boss’s family vacation to Aruba or marketing junket in Las Vegas? Make sure he hates [...]
NEW YORK (CNNMoney) — San Bernardino became the third California city to file for bankruptcy in the past few weeks … but it won’t be the last.
Many municipalities in the Golden State and around the nation are struggling to cover their costs as the economic malaise continues to hurt tax revenue streams, experts said. This will lead to more municipal bankruptcies, which have been rare until now.
“This is not the [...]
NEW YORK (CNNMoney) — People are losing their homes over unpaid tax bills that, in some cases, add up to just a few hundred dollars.
Outdated state laws that allow local governments to sell tax liens on delinquent properties to investors in order to more quickly collect on overdue property taxes is sparking a second “foreclosure crisis,” a report from the National Consumer Law Center said Tuesday.
When homeowners don’t pay property taxes or [...]
NEW YORK (CNNMoney) — Investors are gearing up for a week full of earnings reports and domestic news, but Europe will once again be hard for U.S. investors to ignore.
Dozens of companies are set to kick off earnings season this week. All eyes will turn to JPMorgan Chase (JPM, Fortune 500) on Friday, as the company will post its trading losses tied to its bad hedge from its London unit.
Some estimate that the [...]
NEW YORK (CNNMoney) — As European leaders meet to discuss the future of the euro, economists think the ongoing crisis will lead to big changes for the common currency.
Nearly half of the 22 economists surveyed by CNNMoney expect at least one country to pull out of the eurozone, and most of them think two to four countries will leave. One respondent is forecasting five to seven departures.
The economists also believe [...]
NEW YORK (CNNMoney) — Could more stimulus be on the way?
Federal Reserve Chairman Ben Bernanke certainly left the option on the table Wednesday, making perfectly clear that he stands ready to do more should the U.S. economy take a turn for the worse.
“In case things get worse, we are prepared to protect the U.S. economy and financial system,” Bernanke told reporters at a press conference.
It was a point he reiterated [...]
WASHINGTON (CNNMoney) — The head of the U.S. Postal Service said Tuesday that if the service doesn’t cut costs and Congress fails to act, it’s going to be in the same dire straits as Greece.
Postmaster General Patrick Donahoe drew chuckles from a group of postal policy conference attendees by comparing the beleaguered, indebted Postal Service to the beleaguered, indebted nation.
He said that Greece’s ratio of debt compared to gross domestic product is 1.61 [...]
NEW YORK (CNNMoney) — Student loans have more than tripled over the past decade, according to new data from the Federal Reserve.
Student loan debt hit $904 billion in the first quarter of 2012, up from $241 billion a decade ago, according to the Federal Reserve Bank of New York quarterly household debt report. That’s up 275% since the same period in 2003.
Students continued heaping on debt throughout the economic downturn, [...]
From The Reformed Broker:
Gawker tipped me off to this piece at CNNMoney…
Facebook’s initial public offering has been one of the hottest topics of conversation among seniors living in a retirement community in Boynton Beach, Fla., said 79-year-old resident Alvan Sweet.
Three of his retired friends — two former doctors and a business owner — have been badgering Sweet to help them secure shares. Facebook (FB) will officially price its shares Thursday [...]
From The Reformed Broker:
I’m always on the lookout for headlines like these demonstrating the extreme ridiculousness necessary to indicate cyclical tops and bottoms of a given theme in the markets or the economy.
From CNNMoney via Yahoo Finance:
This year, hundreds of thousands of Americans are expected to be too broke to file for bankruptcy.
The average cost to file for Chapter 7 bankruptcy protection, the most common form of consumer bankruptcy, is [...]
As a true and factual statement of how bad off our economy is, and how much Obama and the criminals and BLS in Washington are lying, up to a million people can’t afford to declare bankruptcy. Does that sound like a “recovery” to you? And, of course, even if you can afford to declare bankruptcy, you cannot discharge your student loan debt, the total of which is over $1 trillion [...]
General Motors made $1 billion in the first quarter, beating analysts’ expectations before being dragged down by a special accounting-related $590-million charge in struggling Europe.
“This management team is not getting ahead of ourselves,” CEO Dan Akerson told financial analysts today on a conference call. “We’re not immune to the industry issues like recession or overcapacity in Europe or competition that’s intensifying everywhere we do business. Every day we keep our teams focused [...]
Verizon is the only company right now not charging for this. If I recall correctly, AT&T charges $36 and T-Mobile $18.
NEW YORK (CNNMoney) — Thinking of upgrading your phone with Verizon? Better do it fast.
On April 22, Verizon Wireless will institute a $30 upgrade fee for existing customers who purchase new phones with a two-year contract.
The fee would hit any Verizon customer signing up for a new two-year plan and receiving a [...]
March 27, 2012
The housing market started off the new year with a thud. Home prices dropped for the fifth consecutive month in January, reaching their lowest point since the end of 2002.
The average home sold in that month lost 0.8% of its value, compared with a month earlier, and prices were down 3.8% from 12 months earlier, according to the S&P/Case-Shiller home price index of 20 major markets.
Home prices [...]
NEW YORK (CNNMoney) — After many recent weeks where mortgage rates hit record lows, the 30-year rate jumped this week to its highest level since late October.The 30-year fixed-rate mortgage, a popular choice for most home buyers, hit 4.08%, according to Freddie Mac’s weekly survey. That’s 0.16 percentage points higher than a week earlier and its first time over the 4% mark since October. The average rate for a 15-year [...]
David S. D’Amato
Center for a Stateless Society
March 19, 2012
On Thursday (March 15), CNNMoney reports, “the long-awaited free-trade agreement between the United States and South Korea … went into effect,” representing “the biggest U.S. trade deal since the North American Free Trade Agreement began in 1994.” One might assume that a libertarian, promoting individual rights and free markets, would (or should) favor such a deal as the practical implementation of libertarian principles.
NEW YORK (CNNMoney) — The Federal Reserve sounds a bit more upbeat about the job market and the global economy, but still the central bank is erring on the side of caution.
Following a meeting on Tuesday, the Fed’s key policymaking committee voted to make no changes to its ongoing stimulus programs.
he central bank still plans to keep the federal funds rate at record lows “at least through late 2014.” The [...]