|Peter Schiff's Economic Commentary|
Tuesday, March 20, 2012
Earlier this month, the Department of Labor reported that 227,000 new jobs were added to the economy in February, marking the third consecutive month of positive jobs growth. Many observers have taken the news as evidence that the recovery is underway in earnest, helping send the S&P 500 index to the highest level in nearly five years. However, the very same day, the Commerce Department reported that after surging for much of the last year, the U.S. trade deficit increased to $52.6 billion for January - the largest monthly trade gap since October 2008. This second data point should dampen enthusiasm for the first.