The Washington Post's lead story Thursday paints a sobering economic picture:

"Just a few months ago, the economy seemed poised to finally strengthen. Business confidence was rising, and extensive government efforts to foster growth were underway. But those hopes are being dashed. Forecasters who once projected economic growth of 3.5 to 4 percent for the year have slashed their estimates with each round of disappointing numbers. Instead of accelerating, the U.S. economy is puttering along at a growth rate of 2 to 3 percent -- barely enough to bring down joblessness slowly, if at all."

And also this:

"The economic recovery is faltering, and Washington is running out of ways to get it back on track."

Really? Washington's fresh out of new ideas? Well how about an old one? Primum non nocere, y... more »

The Wall Street Journal (subscription) reports the International Energy Agency is sounding the alarm on the worldwide oil supply, warning the global economic recovery could be at risk if prices for crude oil stay high or go higher:

The governing board called on oil producers to increase their oil output to "help avoid the negative global economic consequences which a further sharp market tightening could cause," the IEA said in a statement. "Additional increases in prices at this stage of the economic cycle risk derailing the global economic recovery and are neither in the interest of producing nor of consuming countries," it said. "Oil-importing developing countries are most likely to be seriously affected by high oil prices, undermining their economic and social well-being."

The Journal... more »

API Chief Economist John Felmy told reporters this morning that there is glimmer of hope that the economy might be improving. API's Monthly Statistical Report for September shows that U.S. demand for oil products grew last month, foreshadowing a shift from economic stagnation to recovery.

In September, deliveries (a key indicator of demand) of distillate products surged 6.9 percent over the same time period last year, driven in part by a 9.4 percent increase in demand for Ultra-Low Sulfur Diesel (ULSD) fuel. ULSD fuel is used by long-haul trucks to deliver goods and services across the country and is used by economists as a measure of the nation's economic activity.

"The September data suggest a move toward economic recovery," John said. "Stronger distillate demand indicates an uptick in i... more »