Univision News

U.S. Labor Secretary Hilda Solis welcomes the latest jobs report, Latino unemployment drops - finally. (Photo: Fox News)

By STEPHEN KEPPEL
Channel: Economics

The big economic news of the week is that unemployment fell again in December as nearly 200,000 jobs were created in the month. The official unemployment rate dropped slightly to 8.5%, the lowest rate in almost three years. The Latino unemployment rate, which had been stuck for two months at 11.4%, also dropped - to 11% - in the month.

The U.S. Bureau of Labor Statistics reported that the biggest gains in job growth came in the transportation, health care, and manufacturing sectors. One of the most positive aspects of the report is that the size of the workforce remained the same, meaning that the drop in the unemployment rate was a result of job creation rather than people ending their job search.

Now here is our weekly rundown of the top business and economic stories throughout the Americas. Let us know what you think on twitter @UnivisionNews and Facebook.

SOUTH AMERICA

Favela Chic: Brazil’s latest housing boom

Back in November, some 3,000 security agents seized the gang-ruled favelas of Chácara do Céu, Rocinha, and Vidigal in Rio de Janeiro in an operation praised for lasting only two hours and being conducted without firing “a single gunshot.” Now that some sense of stability has taken over, not surprisingly, the latest housing boom in Brazil is to buy a house in a favela. In fact, the first thing many in Rocinha did was to run into the local real estate companies to find out just how much their properties were worth…via Univision News

IMF: Latin American bank exposure to Europe is a main risk in 2012

The exposure of Latin American banks to Europe poses a risk to economic growth in the region, said Nicolas Eyzaguirre, director of the International Monetary Fund’s Western Hemisphere department, in a blog this week. According to this graph Mexican banks face a particular risk. A drop in commodity prices could also prove “toxic” to Latin America. However, many economies in the region have solid macroeconomic and financial situations…via IMF Direct

The dreaded La Niña: US forecaster warns she may linger until spring

The U.S. Climate Prediction Center warned on Thursday that La Niña, the weather phenomenon widely blamed for withering drought in the southern US and South America, may persist longer than expected, into the Northern Hemisphere spring. The prolonged phenomenon, although weaker than it was a year ago, threatens to roil commodity markets from corn to coffee as dry conditions in Argentina and Brazil whither crops while the southern United States — a prime growing area for cotton and some wheat — suffers through a once-a-century drought..via Reuters

Are rich Brazilians ready to live in the first world? A look at Brazil’s servant problem
Britain in the early 20th century and Brazil in the early 21st have in common an issue that infuriates the rich, empowers the poor and delights dramatists, good help is hard to find…via The Economist

The Iranian threat: Tehran tries to gain sway in Latin America

The Wall Street Journal takes a look at Iran’s interests in Latin America just a month after the broadcast of Univision’s ground-breaking documentary La Amenaza Iraní (The Iranian Threat). Tehran continues to foster economic and military ties in the region, particularly with Venezuela and Bolivia. The U.S. is concerned about the region serving as a base to launch terror attacks…via the WSJ

Top Facebook message

Karl Penhaul: The missing Dallas teen deported to Colombia by ICE apparently doesn’t want to go home. It’s like the Colombian government ad says: “The only risk is wanting to stay.”

NORTH & CENTRAL AMERICA

US unemployment fell to 8.5% in December, economy ends 2011 on a high note

While the unemployment rate has been falling in part due to people leaving the labor force, a large portion of this month’s number appears to come from people finding jobs, says Phil Izzo. In December, the household survey showed the number of people employed rose by 176,000 and even though the labor force — the number of people working or looking for work — fell by 50,000, job growth is outpacing the increase in the population…via The WSJ

Will Latino immigration to the US end this year‎?

The flow of immigrants from Latin America to the United States, a constant and often accelerating trend of the last three decades, slowed in 2011. Some believe that Mexican immigration is at net zero. Shannon K. O’Niel hightlights three reasons why: Obama’s tough border security and immigration policy, drug violence along the Mexican border and the weak US economy. Is the Mexican immigration boom of the 1990s and early 2000s over? …via The Atlantic

Univision News report from Iowa’s first Latino-majority town

Univision’s Jordan Fabian and Matt Jaffey were in West Liberty, Iowa where frustrated Obama backers are standing by their man. In a state where only five percent of the population is Latino, West Liberty is the first town where the majority of the population belongs to the nation’s fastest-growing minority. Check out what they have to say about the presidential race…via Univision News

Bold move: The Obama administration names Richard Cordray as head of new consumer watchdog

How will the Consumer Financial Protection (CFPB) affect you? The bureau’s mandate includes making it easier to compare the rates of different credit cards and reducing paperwork and fine print so that the true cost of a mortgage is easier to understand. Republicans argue that the agency has too much power and that new regulations will increase costs and restrict access to credit for consumers and small businesses —the very entities the CFPB is charged with protecting…via Univision News

Mexico vs Spain: no contest

The FT’s beyondbrics compares the fortunes of Mexico and its one-time colonial masters in Spain. While Mexico’s economy has managed to keep its head well above water despite the global downturn Spain is flailing. Manufacturing and services sectors in Mexico enjoyed expansion in December while the best Spain could manage was somewhat slower – though still alarming – rates of contraction…via Beyond Brics

Top tweet: @Conz Miami Named Worst-Run City in America http://bit.ly/zsTbvx - this explains a lot about my mood towards Miami.