OUCH! OMB mutinies against Obama in economic prediction

The OMB which is a part of the Obama administration updated their economic GDP forecast for the rest of the year up through the 2012 elections.

OMB downgrades job growth forecast for 2012

The first paragraph pretty much says it all:

The Obama administration downgraded its forecast for economic growth Thursday, predicting turmoil in the economy will likely keep unemployment above 9 percent through next year’s election.

OUCH! The report goes on to say that they see only 1.7% GDP growth for 2011, down from a 2.7% projection. There is also a CNN poll that asked of Obama’s handling of the economy, with a disapproval of 65%, of course that’s lower than other polls that show even higher dissatisfaction.

Other things happening that will make those numbers worse for Obama (although how can they be that high with such a crappy economy?) is that the August jobs numbers will be coming out tomorrow, Friday. The private firm ADP that tracks just private jobs indicated Wednesday that 90,000 jobs were added, revised down from 102,000, which were revised down from 110,000 before that. However Goldman is predicting only 25k jobs total tomorrow, down from their initial 50k prediction. Zerohedge.com is thinking it might be slightly lower than that, maybe even negative. He also thinks it will only get worse in the next several months with higher negative jobs reports. Here is the latest post in showing THE UGLINESS!

Why unemployment is about to surge

Zerohedge.com also notes that anytime the GDP Year over Year drops below 2%, a recession follows. Says this has been true ever since 1948. Right now he says we are at about 1.5% GDP YoY. With recessions usually lasting 12 to 18 months minimum, this would really spell DOOM for Obama. People will most likely start to blame Obama instead of looking back to Bush finally.

One last DOOM! Rasmussen came out with a new poll today with Perry at 44 and the One at 41. It used to be Romney who was leading the One, but Romney is now trailing instead. Here’s the linkage:

Perry leads Obama

I sense a 1980 all over again.