The Dow Jones industrial average dropped 279.42 points,
or 2.22 percent, to 12,290.37. REUTERS/Graphic
Posted on 06/01/2011 2:16:35 PM PDT by NormsRevenge
NEW YORK (Reuters) – U.S. companies hired far fewer workers than expected in May and output in the manufacturing sector slowed to its lowest level since 2009, adding to concerns that the U.S. recovery is running out of steam.
Economists slashed their forecasts for Friday's payrolls report, considered the best barometer of the world's biggest economy, after private-sector job growth tumbled to just 38,000, its lowest level in eight months.
Wednesday's reports were the latest signals that economic growth remained sluggish in the second quarter after hitting a weak spot in the first months of the year.
"It fits very neatly in with the puzzle we are putting together that speaks to another soft patch," said Peter Kenny, managing director at Knight Capital in Jersey City, New Jersey.
Factory growth around the world weakened last month, surveys from Europe to Asia showed, raising concerns that important export markets for U.S. companies are drying up.
The worse-than-expected U.S. slowdown could prompt the Federal Reserve to stick with its super-easy monetary policies for longer than previously thought.
It also fueled questions about whether the central bank might even embark on a third round of bond-buying to help prop up the economy, a move that would likely face opposition.
The Fed's current program of bond-buying, known as QE2, is set to expire at the end of June and has raised worries about whether the economy is strong enough to grow without it.
"The end of QE2 will be to the U.S. economy what a lawnmower is to green shoots," said Douglas Borthwick, managing director at Faros Trading in Stamford, Connecticut.
(Excerpt) Read more at news.yahoo.com ...
” U.S. recovery is running out of steam. “
Steam?? Is that ‘newspeak’ for “smoke and mirrors”??
June starts ominously for teetering Wall Street
http://news.yahoo.com/s/nm/us_markets_stocks
NEW YORK (Reuters) – Wall Street ended a four-day rally with its worst session since August on Wednesday and could suffer more losses in coming days as investors faced more signs the economic recovery is fading.
All 10 Standard & Poor’s sectors ended more than 1 percent lower and all 30 stocks in the Dow industrials fell. Banks were the biggest decliners as the economic reports painted a glum picture for jobs and manufacturing.
The recent four-day winning streak had some investors pointing to resilience in the market, but Wednesday’s decline took the S&P through its 50-day moving average, leaving the market vulnerable to more losses.
Bush and Palin conspired with the Koch brothers to bring this about
Is it just me or does it seem that the MSM just discovered today that the Obama economy sucks?
running around like headless chickens in the WH war room right now I’m sure
The fault of the Tea Party!
Where’s the magic word... Unexpectedly!
The Republicans should just start calling this economy for what it is... Obama’s Depression.
What &*()@#@!# Recovery?!?!?!
Wall Street Baffled by Slowing Economy...
http://www.cnbc.com/id/43236764
I disagree. Bet the rats in the White House are celebrating while relying on their soros funded media to put more lipstick on the pig.
Here you go (alas however, it is not part of the report).
“I did not expect the absence of the word “unexpected” from this economic news report...”
:-( :-)
When this is all said and done, it will be shown that this idiot-ridden administration’s Keynesian economic policies were an utter failure! But yeah, be assured these idiots will pander that we need more Keynesian-type economic policies implemented..... =.=
eggzactly!
Our household has been working on the same mode since aug. of 2008 - necessities only.
God is delivering our enemies to our hands for destruction.
Don’t worry... the punk president, Bennie, and Timmie will save us with QE3 /s
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