Chart of the Day
Posted at 10:15 a.m. on Nov. 29, 2012
– In one of three positive signs for the US economy, Cullen Roche has this chart showing corporate profits after taxes at historic highs in the wake of the recession.
“Gasoline prices are falling. Gasoline prices can be an enormous tax on the consumer and while gas prices are up substantially over the last 4 years, prices are up just modestly in the last year… The job market is still expanding. Few things are more damaging to the economy than layoffs. And while the labor market isn’t exactly strong it’s definitely not contracting… Corporate profits are at an all-time high. Although the consumer remains fragile US corporations are actually quite strong.”