Economic news remains largely awesome

[ZenGum]

As for the possibility of a recession, the same article contains the following :

... Fed Chairman Ben Bernanke and Vice Chairman Donald Kohn .... noted that the economy is likely to slow considerably in the current quarter under the impact of renewed turbulence in financial markets.

On Capitol Hill, Peter Orszag, director of the Congressional Budget Office, said Wednesday that "the risk of a recession is now elevated" due to troubles in housing, the credit markets and rising oil prices.

.....

While overall economic growth, as measured by the gross domestic product, roared ahead at a 4.9 percent rate in the third quarter, the fastest pace in four years, GDP is expected to slow to a barely discernible 1.5 percent or even less in the current quarter.
[ I presume these are annualized quarterly rates - ZG]

Growth at such a slow pace would increase the risk that the country could dip into a recession, felled by the multiple blows of a prolonged housing slump, a severe credit crunch, rising energy costs and faltering consumer confidence.

So, definitely not in recession yet. There will be a downturn, that is pretty certain, but it might not go into the red. My guess is that it will. The financial crisis and the oil spike are driving it - but the falling dollar is helping to US exports and that might yet save the day.