Market Mover: Weekly jobless claims come in above expectations, 4 week average rises; Dems turn to tax hikes in healthcare plan…

Update: Retail sales are in, mixed bag, low end discounters did well, high end stumbled as expected.

wall-street2

Well the weekly numbers fell 4000 but the 4 week average ROSE 4000. Manyana is the big monthly jobs report…so far we have a jobless recovery in the cards…

CNBC:

Initial claims for state unemployment insurance benefits fell 4,000 to a seasonally adjusted 570,000 in the week ended Aug. 29 from an upwardly revised 574,000 the prior week, the Labor Department said.

Analysts polled by Reuters had forecast new claims falling to 560,000 last week from a previously reported 570,000. U.S. stock index futures pared gains after the report, while government bond prices trimmed losses.

“At this point, with all the stimulus money as well as seasonal factors, we should be seeing the jobless number below 500,000. This is looking more and more like a jobless recovery,” said Todd Schoenberger, Managing Director at Landcolt Trading in San Antonio, Texas.

The number of people collecting long-term unemployment benefits rose 92,000 to 6.23 million in the week ended Aug. 22, the latest week for which the data is available, indicating that companies remained reluctant to expand payrolls, despite an improvement in the economy’s outlook. That was well above market expectations for 6.12 million….

But don’t fret I am sure the DEMS RETURN TO FRAKKIN TAX HIKES TO PAY FOR health care will help jobs, in fact if they focus NEW TAXES ON HOUSING that will help the economy right? right? Bueller? Yeah WRONG!! uhm NOT! MAROONS I TELL YOU!!!

WSJ:

Senate Democrats are revisiting proposals to raise taxes on high-income people to help pay for an overhaul of the health-care system. The main proposal getting renewed attention is one by President Barack Obama that would limit the federal tax deductions for higher-income families for mortgage interest and other widely claimed purposes, said two senior Senate Democratic aides.

…Mr. Obama contends frequently that his plan would merely level the playing field, because itemized tax deductions currently are more valuable for higher-income earners than for lower-income earners. But critics say the Obama administration’s overall tax plan unfairly hits higher earners, noting that the White House also plans to raise the top income-tax rates to 39.6% and 36% for families making $250,000 and up. The top rates currently are 35% and 33%. Some key interest groups, such as the real-estate industry, some charities and state and local governments, are also likely to oppose limiting deductions for high earners.

And another tax raises its ugly head, They are REALLY CLUELESS:

Many House Democrats have lined up behind another approach: placing a surtax on higher-income earners. The surtax would be imposed on a taxpayer’s adjusted gross income — that is, income before deductions are taken out.

Senate Democrats also are considering revamping a plan to tax costly health plans so that it would focus on high earners. Under the original proposal, a hefty excise tax would be imposed on high-cost, employer-sponsored health-care coverage — so-called gold-plated plans — in an effort to force employers and insurers to hold down costs, thereby reducing overall spending. That idea ran into opposition from labor unions, which feared it would hit their middle-class members.

The UNIONS BETTER BE INCLUDED!!!

September 3, 2009. Tags: , , , , , , . Economy, Finance, Foreclosures, Healthcare, Housing, Obama Administration, Politics, Popular Culture, Taxes, Unemployment Statistics, Wall St.

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