'Fiscal Cliff' Deal Will Weigh on Jobs
Labor force participation is lower today than when President Obama took office and the recovery began, and factoring in discouraged adults and others working part-time that would prefer full time work, the unemployment rate is 14.4%.
Though Congress has postponed sequestration, the posture taken by the president in negotiations with House Speaker John Boehner (R-Ohio) and by Vice President Joseph Biden in negotiations with discussions with Senate Minority Leader Mitch McConnell (R-Ken.) indicates the administration and Democratic lawmakers have little interest in substantially curbing health care spending and retirement benefits.
The likelihood of a downgrade in the U.S. credit rating by Moody's is increasing, and this will weigh on the investment plans of many U.S. multinational corporations -- they invest and create jobs in Asia, where national policies better favor growth, instead of the U.S. where higher taxes, spending and deficits are out of control. Follow @PMorici1
This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV