The Virtuous Cycle

In a recent survey by the National Association of Business Economics, 70% of economists said they believe the U.S. economy will grow by more than 2%. Just three months ago, only 61% of surveyed economists had such bullish expectations. And it gets better. 24% of surveyed economists believe 3% growth is coming, up from just 14% January. The details of the survey also show that employment is improving in the hardest-hit sectors: real estate, finance and manufacturing. And salaries are also on the rise. *****Heavy equipment maker Caterpillar (NYSE:CAT), a bellwether for global economic conditions, reported solid earnings this morning. And it raised full-year 2010 earnings projections, saying that "…economic conditions are definitely improving…" The stock market is certainly acting as though better times …