New York, NY (PRWEB) July 15, 2012
Michael Lombardi, lead contributor to Profit Confidential, reports that for June, the U.S. created 80,000 new jobs, well below economists’ forecasts of 100,000, while the unemployment rate remained steady at 8.2%. For Lombardi, these numbers confirm that the economic recovery has now turned into an economic slowdown.
In the article “Deteriorating June U.S. Job Numbers Point to Recession,” Lombardi notes that many of the job numbers created over the last year were in low-paying sectors of the economy.
“Year-over-year average hourly earnings were up only two percent,” says Lombardi. “When inflation is taken into consideration, this two-percent gain is completely wiped out.”
Lombardi states that of the 80,000 new jobs created, 25,000 were in temporary work and 9,000 were in wholesale trade, meaning 42% of the 80,000 new jobs are in low-paying sectors of the economy.
Lombardi contrasts these poor numbers with the first quarter of 2012, in which the job numbers for the U.S. economy went up by an average of 226,000 per month.
“For the second quarter of 2012, the job numbers gained an average of only 75,000 per month,” notes Lombardi.
For Lombardi, this job numbers report is proof that U.S. employment is on a downward trajectory, which points to an economic slowdown.
“This will eventually lead to a recession later this year or in early 2013, as pressure from the recession in Europe and the economic slowdown in China yields its full negative impact on the U.S. economy,” concludes Lombardi.
Profit Confidential, which has been published for over a decade now, has been widely recognized as predicting five major economic events over the past 10 years. In 2002, Profit Confidential started advising its readers to buy gold-related investments when gold traded under $300 an ounce. In 2006, it “begged” its readers to get out of the housing market... before it plunged.
Profit Confidential was among the first (back in late 2006) to predict that the U.S. economy would be in a recession by late 2007. The daily e-letter correctly predicted the crash in the stock market of 2008 and early 2009. And Profit Confidential turned bullish on stocks in March of 2009 and rode the bear market rally from a Dow Jones Industrial Average of 6,440 on March 9, 2009, to 12,876 on May 2, 2011, a gain of 99%.
To see the full article and to learn more about Profit Confidential, visit http://www.profitconfidential.com.
Profit Confidential is Lombardi Publishing Corporation’s free daily investment e-letter. Written by financial gurus with over 100 years of combined investing experience, Profit Confidential analyzes and comments on the actions of the stock market, precious metals, interest rates, real estate, and the economy. Lombardi Publishing Corporation, founded in 1986, now with over one million customers in 141 countries, is one of the largest consumer information publishers in the world. For more on Lombardi, and to get the popular Profit Confidential e-letter sent to you daily, visit http://www.profitconfidential.com.
Michael Lombardi, MBA, the lead Profit Confidential editorial contributor, has just released his most recent update of Critical Warning Number Six, a breakthrough video with Lombardi’s current predictions for the U.S. economy, stock market, U.S. dollar, euro, interest rates and inflation. To see the video, visit http://www.profitconfidential.com/critical-warning-number-six.