Contrary To White House Reports – U.S. Economy Continues To Shed Jobs

Is the U.S. economy roaring to a recovery....or racing to recession?

In the past week, Cisco, Lockheed Martin and Borders announced a combined 23,000 in job cuts.

Those announcements follow 41,432 in planned cuts in June, up 11.6% from May and 5.3% vs. a year earlier, according to Challenger, Gray & Christmas.

Meanwhile, state and local governments have cut 142,000 jobs this year, The WSJ reports, and Wall Street is braced for another round of cutbacks. This week, Goldman Sachs announced plans to let go 1000 fixed-income traders.

If these trends continue, we may soon be talking about losses in the monthly employment data -- not just disappointing growth, says Howard Davidowitz, CEO of Davidowitz & Associates.

Davidowitz focuses the blame on both sides of the congressional aisle, but is especially critical of the White House - saying:

"There has never been in a situation in my lifetime where a guy increases the debt by 40%, GDP growth is on the way down, Food Stamps are up, millions more are unemployed -- and to accomplish this we spent $4 trillion."

Return of Mass Layoffs a Grim Sign for U.S. Workers | Daily Ticker - Yahoo! Finance.