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The One Chart That Proves We're Not in a "Recovery"

Submitted by Phoenix Capital Research on 07/08/2013 12:31 -0400

The US economy continues to fall to pieces, though accounting gimmicks make our employment numbers look better than reality.

Most of the new “jobs” being created are part-time, not full time positions. Indeed, we’ve added over 500,000 part-time jobs to the US economy in 2013 so far. An incredible 360,000 of this came last month. And all in all we’ve now got a record 28+ million people working part-time in the US.

As for full-time jobs, well, we LOST 240,000 last month. And despite all the rhetoric coming out of Washington about a “recovery,” we’ve actually only added 130,000 in 2013 so far. To put this into perspective, we need to create at least 90,000 new full-time jobs PER MONTH to maintain employment levels based on population growth.

This is why the employment population ratio (take the number of people employed and divide it by the number of people who are of working age) hasn’t really moved in the four years since the Great Recession allegedly “ended.”

This is the #1 reason all the talk of “recovery” and “jobs growth” is totally bogus. If you are willing to fudge numbers and adjust measurements, then sure, things look much better. But the reality is that since 2009, there hasn’t been anywhere NEAR the job growth needed to claim we’re in a recovery.

With that in mind, the US stock market has rallied to retest its former trendline. This is a classic breakdown pattern. If we do not reclaim this line and go to new highs then the markets are set for a sharp decline, like to 1,550 if not more. And if you account for where stocks should be based on bonds, the S&P 500 should be down near 1,200.

If you have not taken steps to prepare for a market collapse, we have a FREE Special Report that outlines how to prepare your portfolio. To pick up a copy, swing by:

http://gainspainscapital.com/protect-your-portfolio/

Best Regards

Graham Summers

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Mon, 07/08/2013 - 17:14 | 3731957 assistedliving

I'll give you the 'chart' that proves we're in a Recovery alright

http://www.youtube.com/watch?v=aOa5KQCqurM

enjoy

Mon, 07/08/2013 - 15:59 | 3731699 Duude

A few years back France sought to reduce unemployment by reducing the work week a few hours thinking business could keep paying employees as if their hours were never reduced. What they found was a fair share of business threw in the towel on France and moved to neighboring EU countries for a more fair deal. I suppose this will have a similar effect.

Mon, 07/08/2013 - 15:58 | 3731692 RobertMugabe

Phoenix "Capital" Research? Is your name some sort of fucked up joke? After making verifiably wrong calls for several years in a row how is it possible you have any capital left? And a much more disturbing question, why does Zerohedge continue to post this garbage? By hosting junk posts from this "expert" Graham Summers, the credibility of this blog is diminished to "laughable". I hope he pays well

Mon, 07/08/2013 - 18:42 | 3732214 max2205

X 10

Mon, 07/08/2013 - 15:19 | 3731592 darteaus

"Total Reported Income" will eliminate all the fudging with Part-Time/Full-Time and Burger-Flipper/Skilled games.

Mon, 07/08/2013 - 13:54 | 3731279 CheapBastard

How about the recovery in 1 Mall--Empty!

China TV now shows, "Ghost Malls of America."

Mon, 07/08/2013 - 13:51 | 3731267 Dareconomics

The stock market is irrational, but it can stay that way longer than we can remain solvent. Place you wagers accordingly.

http://dareconomics.wordpress.com/2013/07/08/around-the-globe-07-08-13/

Mon, 07/08/2013 - 15:50 | 3731669 ebworthen

Problem being that the markets are such a rigged Ponzi that they will make us all insolvent whether we are in or out of them.

Mon, 07/08/2013 - 16:00 | 3731703 RobertMugabe

Actually had you been "in" them you would have enjoyed one of the greatest bull runs in history. But instead you sit on the sidelines posting snarky comments because you lack the balls and intenstinal fortitude to make a wager. Keyboard jockey

Mon, 07/08/2013 - 18:17 | 3732153 A. Magnus

Shut the fuck up Robert Mugabe, you piece of shit, tin horn dictator! What the fuck do YOU know about markets that doesn't involve rape, pillage and murder? Absolutely nothing.

You want to know a REAL bull market you missed out on? GOLD - from $250/oz to $1250/oz, you little weasle-cunt spooge fermentation pustule. Nothing like a wannabe know-it-all who doesn't know shit from a fucking shingle...

Mon, 07/08/2013 - 20:55 | 3732648 RobertMugabe

Thanks for proving my point and making me look more intelligent, while giving us all a peek into your mental stability.

Mon, 07/08/2013 - 13:50 | 3731263 lakecity55

In the white hut is a special bathroom.

It has a drain in the center of a giant American Flag.

Each morning, Chalky drops his pants, spreads his cheeks, and shits all over America.

For him, it's the start of another Great Day.

After a quickie from Reggie and a line, he's off to the TV room, where he passes the portraits of Stalin, Pol Pot, Hitler and others, carefully dusting them off and humming a strange little tune.

Once in the TV room he plays back the snuff films of his latest drone strikes, which now include American infrastructure sites passed off by the media as train derailments or fertilizer plant explosions.

Life is Good.

Mon, 07/08/2013 - 16:02 | 3731711 RobertMugabe

Acid and Alex Jones do not mix well

Mon, 07/08/2013 - 14:44 | 3731459 NoDebt

"American infrastructure sites passed off by the media as train derailments or fertilizer plant explosions."

Holy shit, you made me think with that comment. That's pretty far out there. Not sure I agree, but anyone who makes me pause and think like that gets an automatic up-arrow.

Mon, 07/08/2013 - 13:42 | 3731238 Stuck on Zero