Americans’ confidence in the economy rose in April to its highest level since September 2008, just as the financial crisis escalated, according to a private research group.

The upbeat reading offers more hope the economic rebound is gathering steam. Meanwhile, a key home price index reported its first annual increase in more than three years, though it’s too early to say the housing market is recovering.

The Conference Board, a private research group based in New York, reported Tuesday that its Consumer Confidence index increased to 57.9, up from a revised 52.3 in March. The April reading is the highest since September 2008′s 61.4. That was when the financial crisis intensified with the collapse of Lehman Brothers, sending confidence into freefall the following month.

The index — which measures how shoppers feel about business conditions, the job market and the next six months — had been recovering fitfully since hitting an all-time low of 25.3 in February 2009.

April’s reading is still far from what’s considered healthy. A reading above 90 indicates the economy is on solid footing; above 100 signals strong growth. Still, the monthly survey of consumers showed that consumers’ current and short-term concerns about jobs and the overall economy are easing.

One component of the overall index, which assesses how consumers feel now about the economy, rose to 28.6 in April from 25.2 in March. The other component, which measures shoppers’ outlook over the next six months, climbed to 77.4 from 70.4.

Economists believe confidence will remain relatively weak for at least another year because companies haven’t begun to dramatically ramp up hiring.

According to the Standard & Poor’s/Case-Shiller home price index, home prices in February posted a 0.6 percent increase on a non-seasonally adjusted basis from a year ago, but 11 of the 20 cities in the Standard & Poor’s/Case-Shiller home price index showed declines.

Against this economic background, signs of life in consumer spending are sprouting this spring, and stores are primping for a recovery by increasing inventories and re-evaluating their marketing.

Retailers reported a 9 percent increase in sales at stores open at least a year for March, the biggest gain since March 1999, though much of that was a result of an earlier Easter that pushed more spending into March. Sales at stores open at least a year are considered a key indicator of a retailer’s health. March’s performance marks the fourth consecutive month of sale gains.

The Conference Board survey — based on a random survey of consumers sent to 5,000 households from April 1-20 — showed worries about jobs were easing. Those saying that jobs are “plentiful” increased to 4.8 percent from 4.0 percent, while those saying jobs are “hard to get” decreased to 45.0 from 46.3.

Consumers were also more upbeat about the job outlook. The percentage of consumers anticipating more jobs in the months ahead increased to 18 percent from 14.1 percent,while those anticipating fewer jobs fell.

Gordon Silver, which has served Las Vegas since 1968, has taken the approach of growing its practice locally then taking it on the road.

The full-service law firm is working to become a regional fixture. It opened a second office in Phoenix last month. Third-generation Nevadan Greg Garman, who serves as the firm’s managing shareholder, credits Gordon Silver’s “not stuffy” culture as an asset enabling the firm to add staff and increase productivity.

“What you see is who we are,” he said. “We generally like each other and a lot of us have made our entire careers being at this firm.”
 
In recent months, Gordon Silver has been instrumental in filings by Herbst Gaming, the Las Vegas Monorail and the prepackaged bankruptcy for Black Gaming.

“Bankruptcy is dominating the business section of the paper, so we’ve got a lot going on there,” Garman said. For the full story, please see the Las Vegas Business Press.

(Losing a Job During a Recession Economic and Budget Issue Brief http://www.cbo.gov/doc.cfm?index=11429)

Each year, even when the economy is growing, millions of people lose a job for reasons other than poor performance or misconduct. In an issue brief released today, CBO reviews the research on the short- and long-term effects of involuntary job loss for reasons other than poor performance or misconduct on people’s future employment and earnings. In light of the recession that began in December 2007 and CBO’s projection that, under current law, the unemployment rate will remain elevated for a number of years, the brief focuses on the effects of involuntary job loss during periods of weak economic activity. The brief also summarizes some of the government programs that help people who have lost their job.

Many people who lose a job involuntarily find a new job, some quite quickly (within a month or so) and others after more time. For example, among people who were displaced from their job in 2003—when the unemployment rate peaked at 6 percent—and were reemployed by January 2006, CBO found that 10 percent were reemployed within a week. Another 25 percent found a job within a month. In contrast, 25 percent were jobless (although not necessarily searching for work) for six months or more. Read the rest of this entry »

Employers took 1,628 mass layoff actions in March that resulted in the separation of 150,864 workers, seasonally adjusted, as measured by new filings for unemployment insurance benefits during the month, the U.S. Bureau of Labor Statistics reported today. Each action involved at least 50 persons from a single employer. The number of mass layoff events in March increased by 58 from the prior month, while the number of associated initial claims decreased by 4,854. The number of events has decreased in 5 of the last 7 months, and the number of initial claims has decreased in 6 of the last 7 months.

In March, 356 mass layoff events were reported in the manufacturing sector, seasonally adjusted, resulting in 39,290 initial claims. Both figures registered their lowest levels since August 2007.

Sales of new homes  surged 27 percent last month, bouncing off the previous month’s record low, as government incentives and better weather boosted sales.

The Commerce Department reported today that new home sales rose in March to a seasonally adjusted annual sales pace of 411,000. It was the strongest month since last July and the biggest monthly increase in 47 years.

The median sales price was $214,000, up more than 4 percent from a year earlier but down more than 3 percent from February.

The new home sales report reflects signed contracts to purchase homes rather than completed sales and thus gives economists a feel for how many buyers were out shopping for new homes in a given month.

It is likely capturing consumers who are trying to qualify for federal tax credits that will expire at the end of this month. The government is offering an $8,000 credit for first-time buyers and $6,500 for current homeowners who buy and move into another property.

To qualify, buyers must have a signed contract complete by the end of next week and must complete the transaction by the end of June.

Nearly 1.8 million households have used the credit at a cost of $12.6 billion, according to the Internal Revenue Service.

The rise in new home sales was seen nationwide. Sales grew 44 percent in the South and 36 percent in the Northeast. They also rose about 6 percent in the West and 3 percent in the Midwest.

The number of new homes up for sale in March fell 2 percent to 228,000. At the current sales pace, it would take nearly 7 months to exhaust that supply.