Behind years of bad news, bad news bears witness to the U.S. economy may lastly be a new impetus in the opposite direction. A number of financial reports released recently noted some recent progress robust: the companies make. Factories and warehouses are busier. Americans are purchasing extra cars.
And the stock market just it’s best February in 14 years.
But recent report also showed that a healthier labor market, not yet translated into higher wages for workers and a rise in customer expenses. And the development of recent months is now disposed by rising gasoline prices.
On the one hand, analysts said the economy could be on the verge of a "vicious circle", the setting of fuels to be stronger consumer spending, which leads to more hiring and spending.
Moreover, even months, an improvement has yet to show that the cycle can be maintained.
A healthier labor market has not produced big paycheck or a rise in consumer spending. The housing market remains weak. European recession threatens to slow U.S. growth.
Reports on Thursday showed an economy that grows up to 2 1/2 years after the official end of the recession continued the number of people who are unemployment benefits fell for the first time last week to a minimum of four years. And car manufacturers like Ford and Chrysler, and many retailers, including Target and Macy's, reported better sales in February.
At the same time, said the government, consumer spending in January-lined flat, adjusted for inflation. Industrial movement rose at a slower rate in February as factories got fewer orders and had to pay more for raw materials. And construction expenditure fell in January, the first monthly decline since July.
Unemployment has fallen for five consecutive months. And the economy has created more than 2 million jobs last year. Once the positive cycle feeds on itself, consumers spend more optimistic, encouraging companies to hire more. And so on.
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