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9/8/07

JFinancial Post: World Economy: Job losses push U.S. Closer to recession - by Jacquiline Thorpe

For the complete report from the Financial Post click on this link

Job losses push U.S. Closer to recession - by Jacquiline Thorpe

The United States received the first crucial evidence yesterday that the tumbling housing market and a vicious credit crunch may be pushing it toward recession after figures showed it shed 4,000 jobs in August -- its first outright decline in four years. The stunning number -- economists were forecasting a 100,000 gain -- coupled with downward revisions to previous months, sent stock markets reeling and the U.S. greenback to a 15-year low against major currencies, and raised speculation the U.S. Federal Reserve may chop interest rates 50 basis points instead of 25 at its Sept. 18 meeting.

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