Let’s break this down into two easy categories:
The situation is improving…slowly, because stuff is moving…slowly
Because some weekly economic reports have been encouraging, U.S. factories are making more orders of stuff to sell. Spending at retail businesses rose in May, showing that people are spending more on said stuff. Consumer confidence is also at its highest point in 5 ½ years, so people feel good about buying stuff. Higher home sales and prices are signaling a steady housing recovery, and that people feel better about buying houses as containers for their stuff.
Unemployment benefits are being sought by less people as of last week, moving positively with a recently moderate pace of jobs growth. The number of unemployment benefit seekers fell 9,000 to a seasonally adjusted 346,000 last week, demonstrating that the job market is still improving.
Additionally, the Commerce Department said consumer spending increased 0.3 percent last month, after a revised 3.0 percent drop in April (formerly thought to be 0.2 percent). So now the country’s reached a stage of retrospective equilibrium in regards to sluggish movement.
The four-week average for new claims, which irons out week-to-week volatility, declined 2,750 to 345,750 according to the Labor Department, which neared the 338,000 five-year low that the average touched last month.
Employers also added 175,000 jobs in May, almost matching the per mensem gain for the past year. The unemployment rate was 7.6 percent, down from 8.2 percent a year later, and steady job gains could help the economy expand later this year, because growth was only 1.8 percent at an annual rate in the first quarter, down from a previous estimate of 2.4 percent.
Steady job gains could help the economy expand later this year. Growth was only 1.8 percent at an annual rate in the first quarter, the government said Wednesday, down from a previous estimate of 2.4 percent.
The capitalistic cycle of stuff is continuing, so rest-assured that you will still be able to find stuff and get money to buy more stuff for your stuff.