By Michael Snyder
A CNN article entitled “It’s time to chill with all the recession talk” is boldly declaring that the economic optimists were correct and that what our leaders are doing is working. Of course that is music to Joe Biden’s ears, because he is trying very hard to convince all of us that the policies of his administration have the U.S. economy moving in the right direction.
Of course you will never hear Biden share any of the numbers that I am about to share with you. The following are 16 signs that the U.S. economy is going to be “just fine”…
#1 74 percent of Americans believe that interest rates will go even higher in the next six months.
#2 67 percent of Americans believe that inflation will go even higher in the next six months.
#3 Only 36 percent of Americans expect that the U.S. economy will grow in the next six months.
#4 Only 31 percent of Americans expect that the stock market will go up in the next six months.
#5 Only 29 percent of Americans expect that unemployment will go down in the next six months.
#6 Boeing just announced that it will be giving the axe to 2,000 workers this year…
Boeing is planning to slash around 2,000 jobs this year, primarily in finance and human resources, to simplify its corporate structure.
The U.S. planemaker confirmed to FOX Business Digital on Monday that the job cuts will come through a combination of attrition and layoffs.
#7 Dell just announced that it will be laying off more than 6,500 workers…
Dell plans to lay off roughly 5% of its workforce, the company said in a regulatory filing Monday, in the latest example of tech companies cutting costs in an uncertain economic climate.
Dell has about 133,000 employees, the company told CNN. At that level, the 5% cut would represent more than 6,500 employees.
#8 Zoom just announced that it is reducing the size of its workforce by 15 percent…
Zoom is reducing its headcount by 15%.
The layoffs will affect about 1,300 of Zoom’s employees, CEO Eric Yuan said in a blog post published Tuesday on the video communication company’s website.
#9 The CEO of Zoom says that he is going to cut his own salary by 98 percent because the economic outlook is so grim…
The CEO of Zoom has said he will slash his own $1.1M salary by 98 percent after laying off about 1,300 employees, 15 percent of the company’s workforce.
#10 As a result of falling sales, Impossible Foods is being forced to lay off approximately 20 percent of their workers…
Sales have collapsed, however, which according to a recent Bloomberg report, has resulted in Impossible Foods planning to lay off around 20% of its workers.
#11 Bed Bath & Beyond just announced that it will be closing 150 more stores…
Bed Bath & Beyond is closing 150 more stores — just a week after the struggling retailer announced the closure of 87 locations.
The company’s brick-and-mortar footprint has already shrunk dramatically, a regulatory filing showed late Monday, and the new closings mean it will have shuttered 400 stores in the past year — almost half the 950 or so stores it had open in February 2022.
#12 The U.S. housing market continues to crash. Existing home sales in the United States have now fallen for 11 months in a row.
#13 An economist that predicted the housing crash of 2008 says that it is likely that U.S. housing prices will soon fall by another 15 percent.
#14 At this point, 57 percent of all Americans cannot even afford to pay an unexpected $1,000 emergency expense.
#15 While Joe Biden has been in the White House, the average American family “has seen real annual earnings fall about $6,000”…
The average family has seen real annual earnings fall about $6,000 under Biden, while higher interest rates have increased borrowing costs another $1,400. That means a family effectively can buy $7,400 less today than it could in January 2021.
#16 One recent survey discovered that only 16 percent of Americans say that their finances are “better off” since Joe Biden entered the White House.
But the U.S. economy is “just fine”.
At least that is what our leaders would have us believe.
For example, Federal Reserve Chair Jerome Powell just told the press that the U.S. labor market is “extraordinarily strong”…
The US labor market remains “extraordinarily strong” and Friday’s monster jobs report underscored that the central bank has more work to do to bring down inflation, Federal Reserve Chairman Jerome Powell said Tuesday.
“We didn’t expect it to be this strong,” Powell said of the January jobs report, which showed the US economy added 517,000 jobs. “It kind of shows you why we think that this will be a process that takes a significant period of time.”
But what Powell didn’t explain is that the U.S. economy didn’t actually add “517,000 jobs” last month.
That is just the final figure that is given to the media after the bureaucrats in Washington are done with all of their “adjustments”.
The real, unadjusted number for last month was a loss of 2.5 million jobs.
But the pundits in the mainstream media are going to continue to insist that everything is just great.
Even though all of the evidence suggests otherwise, CNN is brazenly claiming that the economic optimists “were right all along”…
In 2021, a bunch of economists and policy makers underestimated the inflation that was taking root around the world. In 2022, as inflation hit 40-year-highs and the Fed ramped up interest rates, many of those commentators went full-on gloomy — predicting a recession was all but inevitable.
But in the (slightly) brighter light of 2023, it looks as if the optimists — those who called inflation “transitory” and believed the Fed could pull off a so-called soft landing — were right all along.
You can believe that if you want. Your pocketbook and bank account will tell you different.