3 Dec - Morning News II

• Author unknown

  New Report says U.S. in Recession, Millions Think “Duh”

  http://current.pic.tv/2008/12/02/new-report-says-us-in-reces...
  37 days ago in PIC Current · Authority: 58

  by Colin Lovett, PICurrent Managing Producer So the National Bureau of Economic Research has sent out an announcement that we are officially in a recession and have been that way since December of last year (2007).  You may be asking: what took them so long? why did the stock market react with suicidal surprise?  For the first question, it takes a while for all of the economic numbers come in before economists can say we are definitely in a recession. A recession, by definition, is a long period of slowing economic activity. This includes manufacturing, sales, employment and other factors. So, they had to wait.  The biggest problem with recessions is usually, many don’t notice it until it’s almost over. Not so with this recession.  The announcement was more a confirmation of when it started.  So why did Wall Street freak out, with stocks dropping more than 600 points Monday.  Part of it might be unrelated to this report. It could be traders cashing in profits from last week’s rise.  It might also be tied to bad news about manufacturing, which has fallen to a 26-year-low.  But if the drop was tied to the announcement, it might be because this recession is already 12 months old, very deep and with no signs of light at the end of the tunnel.  The average recession since World War II has lasted 14 months.  The record is 16 months.  We are only four months from breaking a pretty bad record and things are not getting better yet. For more information, please visit: The Washington Post The New York Times USAToday     What is this?

  • Author unknown

    Recession Made Official: Points to Longer, Deeper Troubles

    http://philipblumberg.vox.com/library/post/recession-made-of...
    37 days ago in Philip Blumberg · Authority: 2

    Economists with the National Bureau of Economic Research announced yesterday that the US economy is officially in a recession, a cycle that began in December 2007, long before the health of the financial system deteriorated this past spring according to a Washington Post article. The NBER's Business Cycle Dating Committee determines when a recession begins and ends and is considered the arbiter of such things, even though the current downturn does not meet the official definition of a recession — two consecutive quarters of declining growth. GDP fell 0.5% in the third quarter this year; in Q2, GDP growth registered 2.8%. Still, though, the NBER noted that the economy met another definition of a recession: "a significant decline in economic activity spread across the economy, lasting more than a few months." "Right now, we still seem to be in an accelerating downslope of this economic cycle," said Ethan Harris, head of U.S. economic research at Barclays Capital. Federal Reserve Chairman Ben S. Bernanke said yesterday that "economic activity appears to have downshifted further in the wake" of the deepening financial crisis in September and that "even if the functioning of financial markets continues to improve, economic conditions will probably remain weak for a time." Because the Fed cannot lower rates below zero, Bernanke indicated that he would continue trying to stimulate the economy through other means — particularly by expanding the bank's intervention in private markets. As an example, he suggested that the Fed could buy long-term Treasury securities or debt issued by the mortgage-finance companies Fannie Mae and Freddie Mac. For more real estate news and information, visit Blumberg Capital Partners.

    • Author unknown

      Economic Signs Point to Longer, Deeper Recession

      http://business.presslogs.com/2008/12/economic-signs-point-t...
      37 days ago in Business News Blog · Authority: 1

      The U.S. economy entered a recession one year ago, a group of the nation’s leading economists said yesterday, and new evidence that the downturn will be deep and prolonged sent the stock market plummeting. Read more Related PostsHow to cope if a recession hits WITH an economic recession tipped, Nick Gardner offers hints on how to keep the wolf from the doo...Pressure On Bank For Big Rate Cut 1:52pm UK, Wednesday November 05, 2008 ...

      • Author unknown

        Economic Signs Point to Longer, Deeper Recession

        http://pressecrackimmo.canalblog.com/archives/2008/12/02/116...
        37 days ago in Pressekrachimmo · Authority: 6

        source: The Washington Post The pledges to take aggressive action come as the recession appears to be getting worse....."Right now, we still seem to be in an accelerating downslope of this economic cycle," said Ethan Harris, head of U.S. economic research at Barclays Capital.

        • Author unknown

          Recession Made Official: Points to Longer, Deeper Troubles

          http://blumbergcapitalpartners.com/BCP-news/?p=366
          37 days ago in Blumberg Capital Partners News » · Authority: 4

          Economists with the National Bureau of Economic Research announced yesterday that the US economy is officially in a recession, a cycle that began in December 2007, long before the health of the financial system deteriorated this past spring according to a Washington Post article. The NBER’s Business Cycle Dating Committee determines when a recession begins and ends and is considered the arbiter of such things, even though the current downturn does not meet the official definition of a recession — two consecutive quarters of declining growth. GDP fell 0.5% in the third quarter this year; in Q2, GDP growth registered 2.8%. Still, though, the NBER noted that the economy met another definition of a recession: “a significant decline in economic activity spread across the economy, lasting more than a few months.” “Right now, we still seem to be in an accelerating downslope of this economic cycle,” said Ethan Harris, head of U.S. economic research at Barclays Capital. Federal Reserve Chairman Ben S. Bernanke said yesterday that “economic activity appears to have downshifted further in the wake” of the deepening financial crisis in September and that “even if the functioning of financial markets continues to improve, economic conditions will probably remain weak for a time.” Because the Fed cannot lower rates below zero, Bernanke indicated that he would continue trying to stimulate the economy through other means — particularly by expanding the bank’s intervention in private markets. As an example, he suggested that the Fed could buy long-term Treasury securities or debt issued by the mortgage-finance companies Fannie Mae and Freddie Mac.

          • Photo of investor40

            Economic Signs Point to Longer, Deeper Recession

            http://www.bearmarketinvestments.com/recession-4
            37 days ago in Bear Market Investments · Authority: 2

            By Neil Irwin, Washington Post The U.S. economy entered a recession one year ago, a group of the nation’s leading economists said yesterday, and new evidence that the downturn will be deep and prolonged sent the stock market plummeting. The Dow Jones industrial average dropped 7.7 percent, or 680 points, on bleak economic reports, including one that showed that manufacturing activity in November was weaker than it had been since 1982. Investors plowed money into U.S. Treasury bonds, seen as safe havens in uncertain times. Meanwhile, Federal Reserve Chairman Ben S. Bernanke indicated in a speech that he is inclined to keep cutting interest rates and using novel approaches to try to contain damage from the downturn. Treasury Secretary Henry M. Paulson Jr. said he is designing new programs to strengthen the financial system. Read more….

            • Photo of tliacono

              Tuesday morning links

              http://themessthatgreenspanmade.blogspot.com/2008/12/tuesday...
              37 days ago in The Mess That Greenspan Made · Authority: 210

              TOP STORIES ‘Bernanke-san’ Signals Policy Shift, Evoking Japan Comparison - Bloomberg Schwarzenegger declares emergency - CNN/Money States Want $176 Billion Slice of Stimulus - Washington Post Iceland: The country that became a hedge fund - Fortune Fund Investors Sue Countrywide Over Loan Modifications - NY Times Big Three automakers try again for a bailout - LA Times Goldman may post $2 billion loss - report - CNN/Money MARKETS/INVESTING Oil trades below $50 a barrel amid demand worries - MarketWatch Gold Advances in London as Yesterday’s Plunge Draws Investors - Bloomberg Oil speculation: It's back - Fortune “Buy and Hold Is Dead?!” - Raymond James Slowdown in China hits commodities badly - Commodity Online ECONOMY Economic Signs Point to Longer, Deeper Recession - Washington Post Starting Now: America’s Second Great Depression - Weiss, Money and Markets U.S. recession could last into 2010 - LA Times Gasoline is cheap, but we're still saving it - LA Times 'Revolution, food riots in America by 2012' - Commodity Online INTERNATIONAL Australia Extends Biggest Rate-Cut Round Since 1991 - Bloomberg Chinese yuan falls sharply ahead of US talks - AFP World stability hangs by a thread as economies continue to unravel - Telegraph London house prices in free-fall - Telegraph China Property Slump Threatens Global Economy as Growth Slows - Bloomberg BoJ loosens standards for collateral against loans - MarketWatch Mortgage slump piles pressure on Bank of England to cut rates again - Scotsman HOUSING Home sellers suffer amid wave of foreclosures - CNN/Money Real estate a tough sell in troubled economy - SF Gate Delinquent Mortgages Set to Nearly Double in 2009 - WSJ Bay Area sees deals on homes for under $100,000 - SF Gate FED/TREASURY/BANKING Treasuries In Bubble Phase, Merrill’s Rosenberg Says - Bloomberg Officials Vow to Act Amid Signs of Long Recession - NY Times Bond Risk Surges to Record on Concern Slump ‘Too Hard to Fix’ - Bloomberg Bernanke Says Fed May Buy Treasuries to Aid Economy - Bloomberg Bernanke says Fed still has arrows in quiver - MarketWatch INTERESTING Buffet Behavior: The Science of Pigging Out - LiveScience David Gregory to host 'Meet the Press' - MarketWatch

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