The Commerce Department reported that retail sales fell by 0.4 percent
in December.

It was a worse-than-expected decline and increased worries that the
country could topple into a recession.

.............................................................................................

The economy skidded to a virtual standstill in the final three months
of last year, raising fears the country could fall into a recession,
unable to withstand the multiple blows from a prolonged downturn in
housing, a severe credit crisis and soaring energy costs.

Already, unemployment is rising.

The jobless rate jumped to 5 percent in December, up from 4.7 percent
in November.

That was the biggest one-month surge in unemployment since October
2001 in the wake of the 2001 terrorist attacks.



From The Associated Press, 1/15/08:
http://money.cnn.com/2008/01/15/news/economy/bc.economy.ap/index.htm?postversion=2008011508

Wholesale inflation hike largest in 26 years

Labor Department says soaring energy costs, from gasoline to home
heating oil, responsible for 6.3% increase last year.


WASHINGTON (AP) --

Wholesale inflation shot up in 2007 by the largest amount in 26 years
even though falling gasoline costs allowed price pressures to moderate
in December.

The Labor Department reported that wholesale inflation was up 6.3
percent for all of 2007, reflecting a huge increase for the year in
various types of energy costs ranging from gasoline to home heating
oil.

_________________________________________________

Harry