Research >> Economics
DJ-BTMU U.S. Business Barometer decreased 0.5%
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For the week ending February 26, 2011, the DJ-BTMU U.S. Business Barometer fell -0.5 percent following an upward revised jump of +0.8 percent in the prior week. After whizzing along in November and December, the barometer fell sharply in January – presumably due to severe weather disruptions – but unfortunately continued its slide in February. Now, it is up to March to carry the first quarter or economic growth at the start of the year will fall short of forecasts. It is too early to tell if the slower economic activity in February was due to higher energy prices, which have driven up input costs for businesses and harried household finances, yet it remains the biggest concern today.
On a year-over-year basis, the barometer slowed to +3.1 percent in the week ending February 26, 2011, which compares to an average -3.3 percent decline over the Great Recession (determined to have ended in June 2009 according to the NBER). After flat lining in 2006, and declining from 2007 through 2009, the barometer bounced back in 2010 to rise by +3.4 percent, which was the strongest increase since 1994 (+4.0%), but not so impressive when you compare it to an -8.0 percent drop in 2009.
Posted: March 10, 2011 Thursday 10:00 AM