What Is This World Coming To?

The Democrats, having failed to convince America that the best course of action in Iraq is surrendering to the terrorists, got even more bad news when April’s employment figures shows the jobless rate dropped 0.1% instead of increasing 0.2% as forecast.

In an editorial piece disguised as news, AP Economics writer Jeannine Aversa did her best to find some clouds to hide the sunshine, but the facts managed to shine through nonetheless:

For the fourth month in a row, the economy lost jobs, the Labor Department reported Friday. But in April the losses totaled 20,000, an improvement from the 81,000 reductions in payrolls logged in March. Job losses for both February and March turned out to be a bit deeper than previously reported.

The latest snapshot of the nationwide employment conditions—while clearly still weak—was better than many economists were anticipating. They were bracing for job cuts of 75,000 and for the unemployment rate to climb to 5.2 percent.

The unemployment rate, derived from a different statistical survey than the payroll figures, fell to 5 percent from 5.1 percent in March. That survey showed more people finding employment than those who didn’t.

Businesses are handing out pink slips as they cope with an economy that is teetering on the edge of a recession, or possibly in one already. A severe housing slump, harder-to-get credit and financial turmoil have forced people and businesses to be more cautious in their spending. And that has hurt the economy.

If you read closely, you’ll discover that the bad news is that the economy isn’t as bad as the Democrats are saying it is. If you just look at the numbers and don’t read anything else, you might even see this as good news.

Dollar Gaining Against the Euro

For the Democrats, the bad news just keeps on coming. First, US forces keep stacking up victory after victory in Iraq. Then the unemployment rate dropped. And now, it looks like the US dollar is gaining strength against the euro. Noted Bloomberg.com

“The dollar has already turned against the euro,” said Benedikt Germanier, a currency strategist at UBS AG in Stamford, Connecticut. “The dollar will go to $1.52 in a straight line.”

The dollar increased 0.3 percent to $1.5424 per euro at 5 p.m. in New York, from $1.5474 yesterday. It touched $1.5361, the highest level since March 24.

The dollar rose 1.3 percent against the euro this week, its biggest rally since March, and has appreciated 3.6 percent from a record low of $1.6019 reached on April 22. It’s the first time the dollar has posted two weeks of gains since December.

The Financial Times speculates that the Euro is showing signs of ending its ‘bull run’ against the dollar. The White House is crediting the early tax rebate program; the Democrats are meeting to discuss ways to derail it in time for the November elections.

Just another day in paradise . . .