-
The Rate Of Unemployment May Fall Below 6% In A Year
A month ago, we discussed the rate of unemployment in the US and published our forecast for 2013. Two months ago, we predicted an extended unemployment fall period down to the level of 6.2% in the third quarter of 2013. This prediction was made after we accurately forecasted (on March 1, 2012) the rate of unemployment in the US to fall to 7.8% by the end of 2012. For the first time in 2012, the BLS announced 7.8% in September and the rate for November is 7.7%. One may expect a lower figure in December 2012. Here we update our model and estimate that the rate of unemployment in the fourth quarter of 2013 ... (full story)
- Story Stats
-
Posted: Dec 9, 2012 11:15am
Submitted by: FF News
Category: Fundamental Analysis
-
2,763 Views
-
68 Comments
Spreadbetter(2)(3)(4)(5)...(11), Guest, scalped(2)(3)(4), AaronWard(2), mfoste1(2)(3)(4), Guest, krisware, tradestar1, TraderUSA, fxsport(2)(3)(4)(5)...(10), kibescorp(2)(3), jaygee(2)(3)(4)(5)...(9), Loadedgun(2)(3)(4)(5), turanius(2)(3)(4)(5)...(7), Villageidiot, rjd33, BaitUp(2), Subestian, 2+2=4ex, Guest(2)
Spreadbetter
1,269 posts
http://en.wikipedia.org/wiki/Soylent_Green
Guest
IP XXX.XX.168.64
scalped
51 posts
Unemployment might fall to 6% in 2013 but that will not be a result of a growing economy but rather a reflex to the new health care laws coming into play.
It will be cheaper for the company to cut full time employees and replace them with part time employees. Resulting in "more people working" but the economy will not be growing at a healthy pace since the take home pay will at best remain flat.
Not making a moral judgement call on US companies, just stating they will find a way to keep profits up while cutting costs...which is what they are suppose to do for the shareholders.
AaronWard
3,162 posts
Making the case that housing will pick up in the US is pretty easy. Owning is significantly cheaper than renting, we have positive population growth and there is significant pent up demand combined with historically low interest rates.
What is more, it is pretty obvious to anybody dealing with real estate that the housing market has clearly turned a corner. Properties priced right move very quickly and the real estate agents that have survived the drought of the last 4 years (less than half) are quite busy.
mfoste1
4,339 posts
Spreadbetter
1,269 posts
And the 55-69 year olds are getting jobs at the expense of the 25-54 group. Grandpa is manning the deep fat fryer in Burger King to make up the pennies lost in his shitty pension, the majority of pensioners are retiring with less than $10K.
The USSA is fubar it'll be fascinating to watch how it (and it's populist arrogance) copes with third world wages and the devastating affect it will have on consumerism, which is 70% of their economy. Sure they'll revert to pushing ninja mortgage loans again, to get folk to buy prefabs and wooden houses, but the cycle down will continue.
Guest
IP XX.XX.82.88
krisware
569 posts
Spreadbetter
1,269 posts
tradestar1
697 posts
TraderUSA
809 posts
AaronWard
3,162 posts
fxsport
320 posts
You have a choice:
Be right - or be happy.
fxsport
320 posts
The US economy sucks if you're stupid and have no job skills. For US citizens who barely graduated high school and have no marketable skills and have been unemployed then it sucks.
However for those of use who think forward and are flexible the past few years have been pretty good.
mfoste1
4,339 posts
mfoste1
4,339 posts
fxsport
320 posts
Students who graduate with degrees in engineering, biochemistry, IT, any science field - are doing well.
The morons who amass 50K+ in student loans who major in art, womans studies, basket weaving, culinary schools, etc., THOSE are the people who can't get jobs because frankly those are USELESS skills in the real business world.
Many of the baby boomers are retiring early opening up more and more job opportunities.
New industries in energy field, i.e., fracking, CNP, LNG, solar, will be the nicer jobs in the future. There are also many healthcare openings that can't be filled because there are too many slackers in the US.
scalped
51 posts
First business do not like non clear political direction.
Reps n Dems will continue to put their party views ahead of good for America views. I see continuing bickering in Washington the entire year.
Second, the debit is monstrous and will be a drag on the Feds ability to manage the economy.
Third, entitlements needed to be dealt with 20 years ago. This alone is a subject politicians just don't want to deal with in a meaningful way. We can not pay our obligations but they are unwilling to make real changes.
Third, I feel we will see several major cities in the US struggle with the possibility of bankruptcy. This will not lure business to expand in these areas, which will need the increase tax base order to avoid bankruptcy
Because of those in Washington unwilling to deal with really difficult choices, they will continue to send mixed signals to companies. Until companies can make firm capital up grade plans they will hold off. To be clear I am not saying no growth but lethargic growth.
Some bright spots I do see are the North Dakota and Texas economies, with the caution creeping into the Texas economy due to some prairie chicken habitat regulations that "might" come into play via the USFW as of yet making a determination.
Both are states are energy based economies.
mfoste1
4,339 posts
Baby boomers are NOT leaving the labor force. Inflation, increased taxes, and loss of benefits are causing them to stay and work longer. So young people are now competing with the baby boomers instead of taking their jobs as if they were to retire.
So if you aren't in the healthcare field, where there are "many openings" , then you are a slacker? It sounds like you are not young, so you really can't observe first hand what is really going on. That is referred to as ignorance.
scalped
51 posts
Spreadbetter
1,269 posts
fxsport
320 posts
1. Too many students are taking loans to not only pay for tuition but for their lavish lifestyles
2. Too many students opt for new 'toys' when graduating and deferring their loans
The US labor market is doing just fine for many people with the right skills.
Irregardless of mine or your thoughts about the US labor pool/employment; the USD will continue to fall.
kibescorp
637 posts
History repeats itself.
Everything in the universe is in an endless cycle, end of story.
We can be "certain" of where this country is headed because it might as well be a formation of DOMINOES being knocked down.
kibescorp
637 posts
In the long run, this country is headed in ONE direction, just like any currency pair.
Even if you're not feeling it "now," you will be. It's happened a million times in history to countless civilizations, only a fool would believe that any society could be IMMUNE to something so natural.
fxsport
320 posts
kibescorp
637 posts
fxsport
320 posts
Maybe you owned Kodak or Polaroid?
People who dont' adapt are doomed but those of us who do adapt do well.
When the Roman Empire fell do you really think everyone died out? The smart ones took their wealth elsewhere while Nero fiddled.
fxsport
320 posts
Ohio is another example of a state that is doing better.
jaygee
1,990 posts
Loadedgun
2,914 posts
turanius
355 posts
turanius
355 posts
What i mean by that is: sometimes you get positive news about i.e. USD, but the USD is losing ground, where then people call the move "risk on" when the cycle was showing a down move, but when the cycle was showing "up" they call it then "risk off". The main reason for a currency to move up or down is NOT the news but the cycle itself and how fast it moves, depends on how many news you see..be it economic numbers or fundamental news.
jaygee
1,990 posts
turanius
355 posts
jaygee
1,990 posts
scalped
51 posts
My tea leaves show no trade currently.
Spreadbetter
1,269 posts
Spreadbetter
1,269 posts
jaygee
1,990 posts
turanius
355 posts
jaygee
1,990 posts
turanius
355 posts
Spreadbetter
1,269 posts
Villageidiot
126 posts
Same thing here- laziness, a sense of entitlement, over reach with military, you name it. Its the same formula. A sense that everything is possible and that all things can be done.
a rather naive belief that we Americans can become something other than human beings with all of humanities weaknesses. Others have tried and failed and so will we
jaygee
1,990 posts
Spreadbetter
1,269 posts
My hope is that the USA pulls in it's horns, becomes protectionist and self sufficient and not by fracking and ruining its water supply for future generations.
rjd33
3 posts
Spreadbetter
1,269 posts
Loadedgun
2,914 posts
Of course if Price is at a resistance (like the Euro was last week) after have traveled something like 2.618 from its fractal primitive root on the Fibonacci scale (measured in H4) it will revert to mean (which I personally did not see as the distance covered since I rarely use the fib tool which I have now adopted - i.e. the expansion tool and just coded it to read point values as well and thanks to you and jaygee ranting about fibs). So my linear mind worked against me there insofar as making projections are concerned.
But the point is given that fact one could have predicted (like you did accurately) and profited well from the reaction at that level without talking or thinking about Draghi and the ECB. And indeed that is the point.
Loadedgun
2,914 posts
PS: I mean "series" in english.
Spreadbetter
1,269 posts
Politicians will claim this is an indication of flexibility and adaptability in truth it's a sign of desperation as globalisation inevitably causes 'our' wages to fall in line with the BRICS.
Loadedgun
2,914 posts
fxsport
320 posts
fxsport
320 posts
Unlike the UK which has limited land and resources the US has too much going for it.
fxsport
320 posts
This planet is composed of 2/3 water there's plenty available. Ok so maybe 9/10 of that is not fit for human consumption but that's what desalination plants are for. In addition the use of cisterns, cloud seeding and other forms of weather manipulation yet to be fully refined.
Your myopic world view hold you back...come join the 21st century will you?
Spreadbetter
1,269 posts
jaygee
1,990 posts
turanius
355 posts
jaygee
1,990 posts
BaitUp
171 posts
turanius is right. I would pocket them my friend. Don't be greedy by trying to buck against a big move like this one. You made enough last week anyway! LOL!
turanius
355 posts
jaygee
1,990 posts
BaitUp
171 posts
Subestian
76 posts
2+2=4ex
5,246 posts
Loadedgun
2,914 posts
Guest
IP XXX.XXX.115.180
u(t) = 0.63p(t-2.5) + 2.0dLF(t-5)/dtLF(t-5) + 0.07; between 1978 and 2003
u(t) = 0.90p(t-2.5) + 4.0dLF(t-5)/dtLF(t-5) + 0.30; after 2003
There is a structural break in 2003 which is needed to fit the predictions".
Eventually I have figured out how Bernanke works monetary policy to bring down unemployment. But the formula is being modified right now. should have the solution in about 2 hours.
Guest
IP XXX.XXX.115.180
Guest
IP XX.XX.212.158
Top of Page