Today's Index data report caused the market to lean toward its worst week in 2012, as data showing employers added fewer jobs than forecast intensified concern about the pace of economic recovery. It should come as no surprise to anyone who lives in Wicomico as the unemployment rate has increased from the 4th quarter 2011 to present. Please keep in mind that the unemployed who fall out of the system and are still unemployed are dropped from the unemployment data base - thus the true unemployment number is masked. That is why today's data shows compelling evidence that the economy is worsening as people are out of work. Today's numbers show the actual payroll employee numbers are down and even Fox news financial analyst - Rick Santelli - was surprised by the low number of 115,000 new hires as opposed to the street estimate of 160,000.
How does this number relate to Wicomico's latest projected budget estimate? For one - the latest Wicomico budget estimate included robust job growth numbers in that the State income tax revenues are projected to be about 5 million dollars above last years revenue numbers. Today's job report helps to blow a hole in that estimate.
The Dow index is down 168 points as of this writing.
1 comment:
We can tax and regulate the hell out of everyone with taxpayer dollars to stimulate the economy. The fed is not only broke, its also broken. The problem with the economy is the government. You only need to look around you, to see that Delaware has made a mockery of your entire system. But accepting that you made a mistake and fixing it takes hard work, and in that, lies the real problem. #Hard Work
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