California, May 25, 2010 1:40am
Black Tuesday is upon us, and the market will crash today.
The Great Recession – Phase 2 is thundering down upon us.
All along, the only indicator that has made any sense is the US Department of Labor’s advance figure for seasonally adjusted initial claims.
This is the US Department of Labor’s estimate of unemployment claims over a 4-week period.
Here is what the recent US Labor Department numbers look like:
Yes, unemployment claims are down from the 540,925 initial claims in the comparable week in 2009.
However, since 75% of the US economy is consumer-driven, with close to 500,000 layoffs during each 4-week period.
How can there be any evidence of a turnaround? There can’t.
Obama with his Bernankes and Geithners have been spreading the word of an economic turnaround.
Just look at the US Department of Labor’s unemployment claims figures and watch Black Tuesday’s stock market, and you will know that Obama and his advisors have been “misspeaking.”