Initial Jobless Claims Continue Downward Trend

For the week ending February 4, initial jobless claims fell 15,000 to 358,000. This is near the 4-year low of 355,000 set week ending January 14 2012. The 4-week average, considered a more accurate gauge of labor trends, also fell, dropping 11,000 to 366,250. This is the lowest 4-week average since April 2008.Initial jobless claims measure the number of people (non industry-specific) filing first-time claims for state unemployment insurance and are a leading indicator on the health of the labor market. The declining number of new unemployment claims has steadily dropped over the past two years.

please click below to see the chart...

Click Here for My Featured Chart

Velocity of Money - Latest Reading and Chart

Since the early part of the recession in 2008, the Velocity of Money (M1) has dropped over 30%. Velocity measures how fast money changes hands within the economy. Having it slow significantly while the Fed boosts the M1 money supply suggests that added liquidity is not spurring economic activity or inflation...at least not yet.Velocity is important for measuring the rate at which money in circulation is used for purchasing goods and services. Higher velocity means the same quantity of money is used for a greater number of transactions and is related to the demand for money. This data can help investors determine how healthy the economy is.

please click below to see the chart...

Click Here for My Featured Chart

Employment Jumps

According to the Bureau of Labor and Statistics, nonfarm payrolls increased in January by 243,000. This marked the largest gain in nonfarm employment since April 2011. The average 2011 gain per month came in at 152,000. Since a decline in nonfarm payrolls in early 2010, 36% of the jobs lost between January 2008 and February 2010 have been recovered. Nonfarm payrolls measure the number of people on the payrolls of all non-agricultural businesses.This report combined with other strong economic news from today has had a positive result on stocks. Which has had a negative impact on bonds today as money flows out of bonds and into stocks

please click below for the chart...

Click Here for My Featured Chart

Private-Sector Posts Employment Gains

According to the ADP National Employment Report, private-sector employment increased 170,000 from December to January. This marks the 24th consecutive month of increases. The average for the last three months of gains has been 223,000 versus an average of 163,000 per month for all of 2011.The ADP National Employment Report is a measure of nonfarm private employment, based on a subset of aggregated and anonymous payroll data that represents approximately 392,000 of ADP's 500,000 U.S. business clients and roughly 24 million employees working in all 19 of the major North American Industrial Classification (NAICS) private industrial sectors.

please click below to see the chart...

Click Here for My Featured Chart

Home Prices Fall

According to the Case-Shiller Home Price Index, prices in the 20-City Composite fell in 19 of the 20 cities from October to November. Only Phoenix saw an increase, with prices moving up .6% from October to November. Prices were also down 3.7% from November 2010 to November 2011.The Case-Shiller Price Indices are constructed to accurately track the price path of typical single-family homes located in each metropolitan area provided.

please click below for the chart...

Click Here for My Featured Chart

Personal Income Increases

According to the Bureau of Economic Analysis, personal income for December increased .5%, up from an increase of .1% in November. Disposable personal income also increased in December, up .4% from November.Personal income is an individual's total earnings from wages, passive enterprises, and investment interest and dividends. Disposable income is the amount left over after taxes.

please click below for the chart...

Click Here for My Featured Chart

Fourth Quarter GDP Rises 2.8%

Fourth quarter GDP rises 2.8%, the fastest growth since Q2 of 2010. Though a large percentage of the increase is a result of a buildup in inventories, consumer spending also saw an increase from the previous 2011 Q3 reading. From Q3 to Q4, consumer spending increased 2.0%, up from 1.7%.Gross Domestic Product is a measure of the total production and consumption of goods and services in the U.S. GDP components like consumer spending, business and residential investment, and price (inflation) indexes illuminate the economy's behavior.

click below to see the chart...

Click Here for My Featured Chart