Category: News Desk

Economists Stumped as New Home Sales Rise, Mortgages Fall


In a sign of growing wealth inequality and declining middle class purchasing power, more people are buying real estate in America, but less people are getting mortgages.

New home sales surged in the U.S. for the month of August, rising to the highest level seen since just before the global financial crisis began in 2008.

According to the Commerce Department, new home sales jumped 18% from the prior month and 33% above a year ago. The surge in sales was far above analyst expectations, and has left many economists scratching their heads.

Republican-led States see Higher Economic Growth


Lately, amounting evidence throughout the United States has begun to suggest that Republican governors could be the balm for state economies. In the fourth quarter of 2013, nine of the ten states in the US defined as the fastest growing economic areas were run by Republican governors.

Tax Rules, Slowdown Signal European Monetary Collapse


Stricter rules on U.S. corporate tax dodging combined with weak European manufacturing data to cause European stocks to slide.

Economists expect the European Central Bank to double down on its asset-buying purchasing program in the short term as weak growth threatens the eurozone. Negative interest rates on European bank holdings have not been enough to encourage greater lending that in turn would encourage greater private sector growth. 

G20 Warns of Uneven Economies as U.S. Growth Decelerates


The Group of 20 sees greater risks in historically low interest rates in developed nations as more investors are investing in emerging markets to improve returns.

Gas Plant Intended to Boost the Ghana Economy


Recent plans regarding a natural gas plant that has been long-delayed over the years could be the stepping-stone that may transform Ghana’s economy. The president, John Dramani, has announced that he believes the construction of such a facility will be more beneficial and crucial to the economy of Ghana than even an oil discovery.

U.S. Retains Stable Outlook on Unchanged Unemployment Rates


Fitch Ratings affirmed its AAA rating on debts and currency issued by the United States, saying that their outlook for the U.S. economy is “stable”. The ratings agency said American has “unparalleled” financing flexibility driven by the U.S. dollar’s status as the world’s most in-demand reserve currency. This currency demand affords America the flexibility to issue more debt and to raise the nation’s total debt load, the agency said, despite concerns that American sovereign debt levels have become unsustainable.

All Industries Grow in Texas – An Economy that is Thriving


Following a recent press release regarding the workforce in Texas, over 46,600 non-farm based jobs were added in July. Currently, the unemployment rate within Texas has remained at an impressive 5.1%, far lower than the national average that is set at 6.2%.

The Week in Review: Scotland Votes, Fed Reserve Delays Rate Raising on Growing U.S. Poverty


Earlier fears of a sharp decline in economic growth and stock prices fell away as European investors dismissed risks of an independent Scotland and as the Federal Reserve indicated hesitation to raise interest rates on U.S. Treasuries.

In a two-day meeting of the Federal Open Market Committee, Federal Reserve members decided that the pace of slowing bond purchases would remain steady, with the U.S. Central Bank expecting to end its bond buying program before November. 

Economic Concerns as Hiring Slows Significantly within the U.S.


Recent hiring numbers have begun to see a significant slowdown within the United States this year, as employers were only capable of adding a further 142,000 jobs to the market. This provided a severe setback for the economic expansion that was never really gaining speed for most of 2014. With the ACA, Sarbanes-Oxley, high taxes, terrible regulations, America continues to shoot itself in the foot.

Millennial Home Ownership: a Dire Future


A Millennial (someone under 35) with a net worth greater than $10,400 is wealthier than half of their peers, according to a recent survey conducted by the Federal Reserve Bank. Explanations for this paltry figure include the post recession income drop, the exponential increase of student debt in recent years, the avoidance of stock-holding among young people and the fact that so few people in this demographic own their homes.