U.S. real economy continues to slide

U.S. government Wednesday released a number of monthly economic data have shown weakness in the U.S. real economy. Analysts predict that U.S. fourth quarter gross domestic product (GDP) is likely to continue negative growth, which will mark the U.S. economy into recession. Decline in durable goods orders increased U.S. Department of Commerce announced in October the U.S. personal spending in the second half of this year, the ring appears for the fourth consecutive month than the decline of 1.0 percent hit a 7-year decline ever on record. However, this data is higher than previously made by the economists expected 1.2 percent in value. U.S. Labor Department revealed that a seasonally adjusted basis, as of Nov. 22 the week for the first time to apply for unemployment benefits to reduce the number of people 14,000 to 529,000, higher than economists previously declined to make the 12,000 people expected Value. Despite the above data are better than market expectations, but its value is still not optimistic. The Commerce Department report showed that the United States in October for personal consumption expenditures price index (PCE) than the 0.6 percent decline in September, showing that economic instability. Prior to November 15 as of the week for the first time the number of applications for unemployment benefits just hit its highest level in 16 years. U.S. real economy of the current weakness in the monthly data on durable goods orders was even more obvious manifestation of: seasonally adjusted, the United States in October durable goods orders declined for the third consecutive month, durable goods orders for the month amounted to 193,020,000,000 U.S. dollars , The chain dropped 6.2 percent. This is far higher than Wall Street analysts made the expected 0.3 percent in value, but also the United States the amount of the monthly durable goods orders drop in the ring than in October 2006, its highest level since. In addition, the United States in October than in the pre-sale housing sales dropped 5.3 percent, Central, the seasonally adjusted sales of 43.3 million units, which record from January 1991 to reach 401,000 units to its lowest level since. U.S. Department of Commerce pointed out that the weak labor market and the tightening of mortgage financing the purchase of housing is not the main reason for Wang. Reproduction or negative growth in GDP Based on the above-mentioned economic data and reflects the weakness of the U.S. real economy, analysts believe that the United States in the fourth quarter GDP is likely again in the third quarter, following negative growth, which mark the stages of a recession. U.S. third quarter GDP saw a 0.5% decline. In the euro zone and Japan and other Western economies have been in the third quarter before the United States into recession. U.S. economists pointed out that the U.S. Congress from early October through 700,000,000,000 U.S. dollars assistance program to not cover the real economy this point of view, the U.S. government will continue to safeguard the stability of the financial system as the most important task at present; the Federal Reserve this week despite the introduction of the Second 800,000,000,000 U.S. dollars of credit market unfreezing part of the program will be used to help the mortgage, consumer and small business, but the plan could have the effect of uncertainty in a timely manner, which would make the U.S. economy into recession as the possibility of becoming Bigger and bigger.