51 of 70 Bloomberg Economic Indicators Improved Under Obama

From Bloomberg news, which understands that FOX fair and balanced would send business into a total tail spin for lack of accurate reporting.

 Of 70 indicators compiled by Bloomberg, 51 — including growth, hiring, housing starts and the stock market — have improved from January 2009 when President Barack Obama took office.

“The economy was going off a cliff,” says Nigel Gault, chief U.S. economist at IHS Global Insight in Lexington, Massachusetts, who has been tracking the economy since 1983. “Since then, we’ve been digging our way out of the well.”

In recent months, though, the digging has gotten tougher. The economy has been growing below its historical trend for five consecutive months and nine of the past 12, according to the three-month moving average of the Chicago Federal Reserve Bank’s National Activity Index, a blend of 85 indicators measuring employment, production, housing and consumption.

… fewer indicators in Bloomberg’s unweighted analysis have improved since the end of 2011. Of the 70 items, 46 have brightened, down from 51 with positive readings over the four-year period. Among the metrics that have declined: corporate profits, the degree of optimism reported by small business owners and chain-store sales.

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Investors Unconcerned

Investors have yet to embrace the Republicans’ debt concern. The yield on the 10-year Treasury note, 1.81 percent as of yesterday in New York, is lower than the 2.38 percent investors demanded when Obama took office.

Most of the increase in the government’s annual budget deficits following the financial crisis stemmed from economic weakness rather than new spending, according to a Bloomberg Government study released in August.

The study found that 61 percent of the increase in the deficit in fiscal 2009 through 2011 was caused by falling individual and corporate income tax receipts and automatic spending increases, such as on unemployment compensation. That compared with 24 percent attributed to the stimulus program and an additional 15 percent linked to non-stimulus spending growth on programs including the military.

As the government has borrowed more to support the economy, consumers have gradually whittled down their debt load. Household debt of $13.7 trillion was equal to 97 percent of gross domestic product at the end of 2008. Today’s $12.9 trillion equals 83 percent of total output.

That “deleveraging” may be buoying public sentiment. Consumers are more upbeat today compared with four years ago, according to the University of Michigan Survey of Consumer Confidence, which hit a reading of 79.2 in September compared with 70.3 in September 2008.

David Lynch at Bloomberg News

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