Yes, the economy still sucks… A month ago “first-quarter economic growth came in surprisingly weak,” and now “consumer spending — the largest component of the economy,” is “especially slow.”
Stagnant wages and higher prices for gas and food are squeezing family budgets, while falling home equity hurts consumer confidence. That suggests more bad news to come.
When consumers are constrained, so is hiring, because without customers, employers are hard pressed to retain workers or make new hires. A recent Labor Department report showed a greater-than-expected rise in the number of people claiming jobless benefits even as private-sector economic forecasts are being revised downward — both very bad omens for continued job growth.
Things just look grim on the economic front… very grim, and the “unavoidable truth” is “The economy is not growing nearly fast enough to dent unemployment.”
Adding to the dismal economic news is the deep dip in housing prices.
The ever growing struggling sector of Americans want to know… Where’s the relief?
UPDATE: Adding to the bad economic news of the day: The Conference Board Consumer Confidence Index® Declines.