Signs the Economy is Improving

Housing market index on the rise

Recent data indicates that The Housing Market Index, which gauges demand for new homes, has been rising in the last few months.

Retail markets are improving

Large retailers are posting substantial profits, and retail sectors in Canada and the U.K. are showing clear signs of improvement.

Treasury Yield Curve primed to take effect

The U.S. Treasury department raised interest rates on bonds, and the yield of these investments should begin to pay out and have a positive the economy very soon.

Investor confidence is rising

Investors worldwide are coming out of panic mode and spreading more money around.

Stock Markets slowly recovering

Steel demand from China is rising

China is one America’s largest economic partners, and recent stimulus packages have spurred more production in their steel companies. This means demand for steel will rise, which will benefit the U.S.

Oil prices are rising slowly

Oil prices have been rising gradually instead of precipitously, which means a huge, unmanageable spike in the near future is unlikely.

Banks did better than expected in stress tests

The recent stress tests showed that banks are a little more stable than projections indicated. This means that they won’t likely collapse, precluding potentially devastating ripple effects if things get worse.

Conclusion

While none of these signs indicate that we are out of trouble, they are all indicators that the situation has not deteriorated as badly as was expected 6 months ago. Are we out of the woods? Far from it. But these signs provide a reason to be optimistic, or at very least less pessimistic.