Category Archives: U.S. Economic News

[05/11/16]  U.S. stocks closed lower Wednesday, under pressure from disappointing Disney and Macy's earnings, amid sharp gains in oil following a surprise inventory draw. The SPDR S&P Retail ETF (XRT) closed down 4.44 percent for its worst day since Aug. 18, 2011. The ETF is down more than 15 percent over the last 12 months. Read moreComments are closed

[05/04/16]  United States and global stock indexes moved lower a second day on Wednesday after a dismal report on job creation gave investors concern over the state of the economy.

The data followed a round of economic news out of China and Europe a day earlier that also suggested sluggish growth.

The Standard & Poor’s 500-stock index fell 12.25 points, or 0.6 percent, to 2,051.12, and the Nasdaq composite fell 37.59 points, or 0.8 percent, to 4,725.64.

The Dow Jones industrial average fell 99.65 points, or 0.6 percent, to 17,651.26.

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[04/27/16]  The Federal Reserve left interest rates unchanged on Wednesday, but kept the door open to a hike in June while showing little sign it was in a hurry to tighten monetary policy amid an apparent slowdown in the U.S. economy. In a statement that largely mirrored the one issued after its last policy meeting in March, the U.S. central bank's rate-setting committee described an improving labour market but acknowledged that economic growth seemed to have slowed. It also said it was closely watching inflation and noted that global economic headwinds remained on its radar, though it made no mention of the risks they posed, as it had...

[04/26/16]  Orders for long-lasting goods manufactured in the United States rebounded far less than expected in March, according to a report released on Tuesday, as demand for vehicles, computers and electrical goods slumped. Consumer confidence ebbed in April, another report showed. The Commerce Department said orders for durable goods, items ranging from toasters to aircraft meant to last three years or more, increased 0.8 percent last month; they declined 3.1 percent in February. Nonmilitary capital goods orders excluding aircraft, a closely watched proxy for business spending plans, were unchanged, and such orders for February were revised down, to a decrease of 2.7 percent, from a decrease of 2.5...

[04/04/16]  New orders for U.S. factory goods fell in February and business spending on capital goods was much weaker than initially thought, the latest indications that economic growth slowed further in the first quarter. The Commerce Department said on Monday new orders for manufactured goods declined 1.7 percent as demand fell broadly, reversing January's downwardly revised 1.2 percent increase. Orders have declined in 14 of the last 19 months. They were previously reported to have increased 1.6 percent in January. The department also said orders for non-defense capital goods excluding aircraft fell by a steeper 2.5 percent in February instead of the 1.8 percent drop reported last month....

[03/23/16]  Sales of new single-family homes in the United States rebounded in February, but the increase was concentrated in one region, which could suggest a loss of momentum in the housing market as the busy spring selling season kicks off.

The Commerce Department said on Wednesday that new-home sales rose 2 percent to a seasonally adjusted annual rate of 512,000 units. January’s sales pace was revised up to 502,000 units, from 494,000.

Such sales surged 38.5 percent in the West last month. They fell 24.2 percent in the Northeast, 17.9 percent in the Midwest and 4.1...

[03/17/16]  The number of Americans filing for unemployment benefits rose from a five-month low last week, but it remained below a level associated with a strengthening labor market.

Other data on Thursday showed that factory activity in the mid-Atlantic region expanded in March for the first time in seven months, the latest sign of stability in the distressed manufacturing industry.

In addition, job openings hit a six-month high in January, and a gauge of future economic activity increased in February after two straight months of declines.

“The labor market is tight as a...

[02/17/16]  Industrial production in the United States had its largest gain in 14 months in January as manufacturing and utilities output increased, the latest sign that the economy regained some ground early in the year.

While other data on Wednesday showed a surprise decline in housing starts last month, that was probably because of bad weather, especially in the Northeast and Midwest. With building permits ahead of groundbreaking activity, home construction is likely to pick up in the months ahead.

The first increase in industrial output in five months should help allay the fears of...

[02/06/16]  U.S. employment gains slowed more than expected in January as the boost to hiring from unseasonably mild weather faded, but rising wages and an unemployment rate at an eight-year low suggested the labor market recovery remains firm. Non-farm payrolls increased by 151,000 jobs and the unemployment rate slipped one-tenth of a percentage point to 4.9 percent, the lowest since February 2008, the Labor Department said on Friday. The payrolls gain was a sharp step-down from the average 231,000 jobs per month during the fourth quarter. "The fact that payroll gains fell back to earth is not necessarily a bad sign. Most indications are that the job market...

[02/05/16]  Wall Street's short winning streak came to a brutal end Friday as a disappointing jobs report sent stocks skidding and the Nasdaq composite to its lowest level in more than 15 months. The Dow Jones industrial average, which had patched together two straight days of gains, was down 211.61 points, or 1.3%, to 16,204.97. The broader Standard & Poor's 500 was down 35.40 points, or 1.9%, to 1880.05. The real carnage was in the Nasdaq, which tumbled 146.41 points, or 3.3%. to 4363.14 -- its lowest close since Oct. 20, 2014. For the week, the Nasdaq posted a more than 5% loss. The Dow dropped about 1.6% and the S&P 500 tumbled 3.5%. The Nasdaq is now...