Fed launches bold $1.2T effort to revive economy

NF Reporter · 03-19-2009, 02:47 AM

AP - With the country sinking deeper into recession, the Federal Reserve launched a bold $1.2 trillion effort Wednesday to lower rates on mortgages and other consumer debt, spur spending and revive the economy.

Fed launches bold $1.2T effort to revive economy

waltky · 09-05-2010, 05:01 PM

Consumer confidence still down...

81% rate U.S. economy as 'poor' - CNN poll
September 5, 2010: WASHINGTON (CNN) -- A new national poll released Sunday indicates that eight in 10 Americans say that the economy is in poor shape, and the number that say conditions are very poor is on the upswing after steady declines through the spring.

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And according to a CNN/Opinion Research Corporation survey, more people blame the Republicans over the Democrats for the country's economic problems. Eighty-one percent of the public rates the county's economic conditions as poor, with 18% describing the economy as good. Forty-four percent of people questioned describe economic conditions as very poor, up seven points from July. The poll indicates that roughly half the country says that conditions have not improved in the past two years. The other half says that the economy has gotten better, but many of them expect things will get worse in the near future.

"Roughly a third of all Americans say that the economy has gotten better and will continue to do so," says CNN Polling Director Keating Holland. "But one in five say that things have gotten better but will take a turn for the worse in the months ahead -- essentially predicting the "double-dip" that many economists are worried about." So which party gets the blame for the country's current economic problems? According to the survey, more Americans hold the Republicans responsible than the Democrats, with 44% blaming the GOP and 35% picking the Democrats.

"And when George W. Bush's name is added to the mix, the number who blame the Republicans rises to 53%, with just a third saying that Barack Obama and his party are at fault. That indicates why the Democrats are likely to mention Bush's name every chance they get between now and election day," Holland said. But according to numbers released Friday, just four in 10 Americans say they approve of the job President Barack Obama is doing on the economy. The 40% who give Obama a thumbs up is a new low for the president on the economy in CNN polling. The CNN/Opinon Research Corp. poll was conducted Wednesday and Thursday, with 1,024 adult Americans questioned by telephone. The survey's overall sampling error is plus or minus three percentage points.

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Wall Street faces an economy at a 'crossroads'
September 5, 2010 -- Stocks started September with a bang as investors cheered a rare dose of good economic news but investors may need to buckle in for the coming week: It's a holiday-shortened week with little on the docket to set the tone.

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Last week, the Dow added 2.9% and moved back into positive territory for the year. The advance was fueled by a surprise rebound in manufacturing activity and a better-than-expected report on the labor market. The upbeat news eased some worries about a renewed recession, but many investors remain skeptical about the outlook for growth and the sustainability of last week's rally.

"The economy is slowing, and appears to be nearing a crossroads," said Jim Baird, chief investment strategist for Plante Moran Financial Advisors. "It is too soon to determine whether a trip down the path toward a double dip recession is inevitable or if that outcome will be avoided." Others are more optimistic. "There's a very strong argument to be made that stocks are cheap," said Hugh Johnson, chairman of Johnson Illington Advisors.

That argument, he said, assumes the economy will skirt a double dip recession and that growth will resume later in the year. "At a certain level, you're willing to take the risk," Johnson said, cautioning that a reduction in government stimulus and move towards higher taxes could present problems.

The cloudy outlook for the economy probably won't get much clarity this week with relatively few economic reports on the agenda. And trading could be choppy as many investors ease back in. U.S. markets will be closed Monday for the Labor Day holiday. "I do expect [this] week's volatility to rise and investors begin to take sides on trading levels and economic growth," said Kevin Giddis, president of fixed-income at Morgan Keegan.

On the docket