Here are a few of the latest economic indicators used by many analysts and economists to gauge the health of the U.S. economy:
– The certified gold spot price fell $7.80 today, leaving gold just below the psychologically-key level of $1300 at $1287.50 per ounce.
-The Dow Jones Industrial Average jumped to a record-high 16,000 on Monday, led by Boeing’s $100 billion in Dubai Air Show orders.
-First-time unemployment benefit seekers fell by 3,000 last week.
-Unemployment is at 7.3%.
-A total of 204,000 jobs were added to the U.S. economy in October.
What do these numbers mean? Well, it depends on who you ask. The Wall Street Journal ran an article last week touting the fall in those seeking unemployment benefits as proof that our economy is on the mend. What was buried deep in the middle of the article? The fact that over 300,000 filed for first-time unemployment benefits in one week, and that the number of people who received unemployment benefits for more than one week didn’t fall at all.
Unemployment is supposedly down 0.1% from last month, but if you factor in all the people who have simply given up looking for a job or those who have only been able to obtain temporary holiday work, as well as the people who are unqualified to hold a job, real unemployment is in the double digits, and climbing quickly.
How many of those 204,000 jobs are temp and/or minimum wage service positions? You don’t want to know.
Gold prices are down, but so is the dollar index. How is this possible? Is government manipulation of U.S. financial markets possible or probable? At the end of the day, would you rather have 13 $100 bills in your pocket or an ounce of pure gold? The point is that “news” organizations are known for spinning data in a way that sells. As a student of the economy and a fellow American investor I implore you to PLEASE think about how the economy feels to you before reading a piece of “positive” economic news and going about your day with the erroneous idea that everything is going to be fine in the U.S. economy. The factors that caused the recession are still very much in play, and some have even been amplified. Do two wrongs make a right? You decide.