A Green Shoot? U.S. Stock Futures Slide on Unexpected Jump in Jobless Claims
By Lynn Thomasson
June 25 (Bloomberg) -- U.S. stock-index futures retreated after initial jobless claims unexpectedly increased, reviving concern that rising unemployment will prolong the recession.
Bank of America Corp. and ConocoPhillips declined more than 1 percent after first-time claims for benefits grew by 15,000 last week to 627,000. Nike Inc., the world’s biggest athletic- shoe maker, fell 4.4 percent after orders decreased 12 percent because of the global economic slump.
“It’s going to be a slow grind out of this,” Douglas Cliggott, the Greenwich, Connecticut-based manager of the $81 million Dover Long/Short Sector Fund, which beat 96 percent of its peers last year, told Bloomberg Radio. “The key for the next six to nine months is: ‘When are we going to start to see some earnings growth?’ It doesn’t look like it’s going to be this summer.”
Futures on the Standard & Poor’s 500 Index expiring in September slid 0.7 percent to 891.7 at 8:49 a.m. in New York after rising as much as 1.2 percent earlier. The index has lost 4.8 percent since June 12 after a 40 percent rebound from its March lows. Dow Jones Industrial Average futures lost 0.6 percent to 8,203 and Nasdaq-100 Index futures fell 0.7 percent to 1,437.5.
http://www.bloomberg.com/apps/news?pid=20601087&sid=avKZL0wj...
Ha ha! "Earnings growth?"
Ha ha! "Earnings growth?" These people are insane. Consumer USA is D-O-N-E! It's an extremely flawed model and it's crashing whether we like it or not. These idiots will be waiting 5 or more years for honest earnings growth!
The sooner these media outlets start to grip reality the better. Bloomberg and likes are partly to blame for the current mess. These folks would be better off reporting the doom, gloom and honest truth 24/7 because maybe in the end they might come out of it with only a few bumps and bruises and their respect intact. But of course I'm dreaming....
"Economy dips at slightly lower pace in 1Q"
Don't you love those headline spin doctors! A 5.5% decrease in the economy in 3 months equals a 22% decrease this year at that rate! That sounds huge and it is, but it is just a "slight dip" according to them.
Economy sinks less than expected in first quarter; new jobless claims rise unexpectedly
* By Jeannine Aversa, AP Economics Writer
* On Thursday June 25, 2009, 9:05 am EDT
WASHINGTON (AP) -- The economy tumbled at a 5.5 percent pace in the first quarter, but appears to be doing better now, even though heavy layoffs persist.
The revised reading on gross domestic product, released Thursday by the Commerce Department, showed the economy from January through March didn't fall as deeply as the 5.7 percent annualized decline reported a month ago. Economists expected the government would stick with its previous estimate.
A separate government report found new jobless claims jumped unexpectedly last week, while continuing claims for unemployment benefits rose more than expected. The data show jobs remain scarce even as the economy shows some signs of recovering from the longest recession since World War II.
The main forces behind the small upgrade in first-quarter GDP had nothing to do with an improving job market: businesses didn't cut stockpiles of goods as much and imports dropped more sharply than previously estimated.
Meanwhile, the rebound in consumer spending was a little less energetic.
More:
http://finance.yahoo.com/news/Economy-dips-at-slightly-apf-2...
I love how
the stock market just shot up out the gate today. Here's what I think of that bullsh*t.
http://www.youtube.com/watch?v=KWu-efNN8PM&feature=channel_page
USMC Quote
"It has to get worse, before it gets better!"
Sigh...