Unemployment Rate Drops in July 2009: Foreclosures Continue

Unemployment in July dropped from 9.5 percent in June to 9.4 percent for the month of July.  Does this mean that Obama’s stimulus packages and new legislation is working? The answer is not necessarily. What we do know is that the administration will spin it that way. A drop in unemployment of such a tiny percentage can mean that people simply stopped searching for a job. Remember that the unemployment rate encompasses people who are searching for a job, not those who gave up. The good news is that it seems that our out of control recession  isn’ so chaotic anymore. Asian markets  are also seeing signs of recovery and it seems we’ve reach the trough in the wave.  I still don’t think housing prices will climb at a rapid pace as we have yet to see how fast America will recover.  Foreclosures continue to occur at high rates and will so for a while to come.

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