Economic News Story Catts, Tim.

¶ … Economic News Story

Catts, Tim. "Corporate Bond Sales Fall 19%." Business Week. 2010. Web. 30 Jun. 2010.

This article discusses how corporate bond sales have fallen by 19%, with both WM Wrigley and CNH Global NV reporting disappointing bond offerings. According to the article, this is in response to the large amounts of fear and possible weakness, surrounding the economy. Where, these fears are growing, that the U.S. could fall into a second recession (a double dip recession). These concerns could be legitimately, underscoring a change the economy. Where, the disappointing bond offerings for large companies (such as Wrigley) are troubling, as they are showing that investors are risk adverse. Over the course of time, this fear could translate into a secondary recession; that could take place in the second and third quarters of the year. (Catts, 2010)

Salas, Caroline. "Fed's Evans Says Europe Crisis is Headwinds for U.S.." Business Week. 2010. Web. 30 Jun. 2010

In this article, the head of the Chicago Federal Reserve Board (Charles Evans), discusses how the debt crisis in Europe could significantly slow, U.S. economic growth going forward. Where, a number of governments have been cutting back on physical spending. This is significant, because it shows how the debt crisis in the European countries, could begin to affect the U.S., as trade will slow dramatically. Then, when you consider the fact that the states are facing similar challenges, could mean that this crisis could spread to the United States. In both situations, this highlights how the U.S. economy will be facing various challenges going forward, because of this issue. (Salas, 2010)

Semuels, Alana. "With the Federal Stimulus Running Out." LA Times. 2010. Web. 30 Jun. 2010.

In this article, the author discusses how the federal stimulus program is running out and that it will have an effect on economic growth going forward. Where, it could cause economic activity to decline, once the entire spending programs have been exhausted. This is significant, because it shows the fears of a double dip recession are real, with the economy continuing to remain stagnant and the stimulus programs ending. Over the course of time, this could help to cause a second recession to occur, as new stimulus spending is facing political challenges. (Semuels, 2010)

Willis, Bob. "U.S. Economy." Business Week. 2010. Web. 30 Jun. 2010.

In this article, the author discusses how incomes grew faster in May than spending, resulting in improved amounts of saving from consumers. This is significant, because it shows how the economy is attempting to form some kind bottom, with the psychology of consumers changing. When an economic recovery begins, this will be an important element in helping to provide a foundation, for large big ticket purchases. At which point, the increased savings will translate into more spending and investing. (Willis, 2010)

Schlisserman, Courtney. "U.S. Economy: Business Activity Index Climbs. Business Week. 2010. Web. 30 jun. 2010