Lately, not a day goes by where one does not stumble upon some truly troubling economic statistic or terrifying economic news story. Today was no exception:
Wall Street May Lose 36,000 Jobs
By Joan Gralla Thu Apr 24, 1:00 PM ET
NEW YORK (Reuters) - Wall Street, the lifeblood of New York City's economy, could lose over 36,000 jobs because the financial credit crisis has rocked markets and stunned the U.S. economy, estimated James Brown, a labor market analyst with New York state's labor department.
New home sales plunge to lowest level in 16 1/2 years
By MARTIN CRUTSINGER AP Economics Writer
WASHINGTON Apr 24, 2008 (AP)
Sales of new homes plunged in March to the slowest pace in 16 1/2 years as a two-year housing downturn extended into the start of another spring sales season. The median price of a new home in March compared to a year ago fell at the fastest clip in 38 years.
In an effort not to stoke the fires of doom and gloom, but rather to keep on eye on the state of the recession, I offer this brief diary (I have done several others the past few months) cataloging the latest indications that the economy is in real trouble. However, it's not all bad news. Today the news was decidely mixed, as Wall Street rallied:
Wall Street rises after drop in jobless claims, Ford results
By TIM PARADIS, AP Business Writer 40 minutes ago
NEW YORK - Wall Street rallied Thursday after the government's jobless claims data and Ford Motor Co.'s first-quarter results helped reinject some optimism about the economy into the market.
The Dow Jones industrial rose more than 80 points as investors focused on the Labor Department data showing weekly unemployment claims dropped and word that Ford had a $100 million profit in the first quarter. The news allowed investors to look past the Commerce Department's report that new home sales fell in March to the lowest level in more than 16 years, a sign that the housing slump isn't close to an end.
Of course, it's more than a tad ironic that Wall Street rallied about jobless claims the same day that it was reported that Wall Street itself may shed over 35,000 jobs.
So it's hard, as usual, to tell which way this thing is going to turn. But I've read too much bad news in the last few months to make me think the worst is over.