Tag Archives: economic recovery

Home Sales Boding Well for Economy

Economy, Real Estate, , ,

In what many economists believe may be the highest numbers in at least three years, home sales are going up as demand for residential real estate continues to give added home sales are upstrength to the economic recovery.

Taken together, the number of new and existing homes which were bought reached the annualized pace of 5.64 million as of last month. This is the quickest pace since November of 2009.

Builder confidence is rising in response to improved sales even while the cost to borrow is going up. The limited supply of homes, lots and materials are also adding to builder confidence.

Federal spending cuts combined with improvements in the housing and auto markets will most likely boost economic growth in the last half of this year.

“The economy is slowly improving,” said Washington-based Roberto Perli, a partner at Cornerstone Macro LP. “I look for the housing recovery to continue. The fundamentals of the market are strong enough to overcome higher mortgage rates.”

Consumer Spending Up in Third Quarter

Consumerism, Economy, , , ,

The end of the third quarter produced some good economic news, sending hopes that the economic recovery is picking up momentum. According to the economic data which was released on Monday retail sales in the United States went up in September as Americans made more purchases of just about everything, from cars to electronics.

In less good news manufacturing slowed in again October in New York State, although the size of the shrinkage was not as large as September’s manufacturing slowdown.

Retail sales advanced at a pace faster than what was originally expected; 1.1 percent in September, according to Commerce Department data.

This increase in consumer spending is great news for the economy because purchasing accounts for as much as two-thirds of economic growth.

“This is a good end of (the) third quarter and we have some good momentum to the fourth quarter,” said Craig Dismuke, an economic strategist at Vining Sparks in Memphis, Tennessee.

2011 Mothers Get Spoiled

Consumerism, Economy,

Big Business of Mother’s Day

Yesterday was Mother’s Day in America. It’s meant to be the day when mothers are spoiled and it’s become a huge financial business. Indeed figures for last year reached a staggering $14bn in America. Most popular items were flowers and candy. It is expected that figures for yesterday are to be even higher.

These predictions can be made according to general consumer spending. This has to spell good news for the global economic recovery as surely we wouldn’t be spending so much money if we just didn’t have it. So let’s take a look at the predictions.

Mother’s Day Spending Stats

So let’s take a look at the statistics over the years as worked out by the National Retail Foundation. In 2007, the average spending was $139.14; a large drop was felt in 2009 when the figure was $123.89. This went up a little the following year but this year the prediction is the highest, at $140.73. And who will be getting these gifts? Mostly to moms (or stepmoms) coming in at 60 percent; smallest figure to a friend at 7 percent. The wife doesn’t do badly too, getting an average 39 percent of the gifts given.

What are we Getting?

So if there is all this money spent, what can the woman hope for on Mother’s Day? The most money spent was on a special outing (coming in at $26.73); the least on a book ($4.08). Other gifts in between included: jewelry, clothing, massage, housewares, flowers.

So if you feel you got a bit diddled yesterday and no-one made a fuss of you, perhaps it’s time you made a bit of a fuss yourself and ask your kids (or husband if your children are too little) for a nice gift or some time off.