US Economy - What Is The Truth

[Windsor]

We have 2 reports by CNN Money which contradict each other. So what is the reality?

http://money.cnn.com/2011/12/27/news/economy/consumer_confidence/index.htm?hpt=hp_t2

Consumer confidence shoots higher again
By Chris Isidore @CNNMoney December 27, 2011: 11:14 AM ET

NEW YORK (CNNMoney) -- Consumer confidence shot higher for the second month in a row in December, according to a survey from The Conference Board.
The research firm's overall confidence index, released Tuesday, jumped 9.3 points to 64.5. The increase follows a 14.3-point rise in November.

http://money.cnn.com/2011/12/27/news/companies/sears_kmart_closings/index.htm?iid=Popular

Sears, Kmart to shut 100-120 stores
By Chris Isidore @CNNMoney December 27, 2011: 10:29 AM ET

NEW YORK (CNNMoney) -- Sears Holdings on Tuesday reported a sharp drop in holiday sales compared to a year ago, and said the results will force it to close 100 to 120 Sears and Kmart stores.
The stores to be closed have yet to be identified. The company is one of the nation's largest retailers with more than 4,000 stores in the United States and Canada.

Follow links to read up the details. Same reporter, same website and same day the reports were published.

 

[neddy]

I suspect the truth can be found in the Us Fed Reserve interest rate remaining at 0 to 0.25% until mid 2013.

This is just seasonal consumer confidence before the next unexpected fall in consumer confidence.

Housing market has not recovered.

Unemployment is still high. State govts are not creating jobs. Private sectors are slashing jobs to maintain profits.

How many jobs have returned to the US.

About unemployment rate falling.
That definition of unemployment is laughable. A monthly sample survey is conducted and the survey questions are phrased in such a way that many are simply classified as "not in the labor force", not unemployed . Also, another measure using unemployment insurance to count is inaccurate because unemployed fall off the radar after their benefits run out.

 

[mayliewwan]

Nothing wrong with the headlines. That's how the real world works...winners and losers. Kmart can't compete with Target or Walmart for the low end market. Sears can't compete with Macy and others for the midrange market Eg wenn shopping this afternoon . Was looking for a hand held lamp with a chord. At Sears the lamp cost some $29. Went to Walmart, a similar model cost $9.98. No prize guessing with one I bought
p/s.. IBM reported online shopping all time high. Sears better reinvent itself or join the dinosaurs

 

[Gallego99]

I wouldn't read too much into the data coming out of the US. There are seasonal factors to consider where employment is concerned but I expect the unemployment rate to inch upwards once the holiday season is over. About 50 000 jobs were created in the service sector alone n I reckon most will be laid off by the end of January or the first quarter at the very latest.