Consumer confidence has now been up for three consecutive months and that is looking good, despite the lack of job growth, it seems that consumers are starting to realize the recession is nowhere near over and are choosing to start leaving their lives normally again. This is a big surprise.

As many believe this is a simple fluke and will start dipping again, I like to believe it is real and will continue to grow. Most economists will tell you that job growth is directly related to consumer spending and historically this has been found to be true BUT job growth alone is not the only factor that pushes the consumer spending index up. The people’s confidence in their own situations does too, and I think people have just about had it with all the down talk on the news and the negative effects that talk shows and gloomy economists seem to keep playing on. Its not doomsday, its just another recession, not the worst we had and not the smallest but it will go away and the less afraid we are of it, the quicker it will go away.

The only difference is that now you need to spend within your means and thats how it should have been to begin with.

Dont you agree? Leave us a comment

A few days a go, we saw a nice 500 pt jump by the stock market. Many were happy to see such a jump in the right direction and many are afraid as they seem to think the volatility of the market is still continuing.

The market coming up 500 points is great but not by far an indicator that the state of the country is getting better. Continue Reading

President Obama’s plan is the talk of all media everywhere. Many are non believers and are criticizing the president and his treasury secretary for spending too much money and having too vague of a plan. The plan has already promised to create or help put 3.6 million Americans to work by the end of 2010. The plan also speaks to tax cuts for the middle class and tax credits for individuals purchasing a home in 2009 or an American car. Despite what it promises to do and what it will actually deliver, the President stands behind his plan 100% and believes that it will take time but will work.

However, there is one idea that got my attention simply because it seems like it would work.

There has been talks of boosting the market by offering a special incentive called “no capital gains” for securities purchased before 12/31/09. This would create an urgency and reinforce people’s confidence in the market. There would however be some exceptions to the proposed idea, but it could boost small business purchase decisions and help the market to a faster recovery.