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The United States economy is beginning 2012 on a brighter note in a sign investors may be too pessimistic. The number of people in jobs rose 200,000 in December, double the gain in November, a Labor Department report showed on Friday. A weekly measure of consumer confidence ended 2011 at a five-month high. Manufacturers reported their business in December grew at the fastest pace in six months. The combination indicates the world's largest economy has enough staying power to withstand a recession in Europe. John Herrmann, senior fixed-income strategist at State Street Global Markets in Boston, said that "markets are absolutely preoccupied about the risks from Europe and the US housing market." Bob Doll, chief equity strategist at BlackRock Inc, the world's biggest asset manager, sees US stock prices rising and yields on Treasury securities climbing this year as investor concerns about the outlook abate. Doll forecasts that US stocks will return at least 10 percent in 2012, beating foreign markets for a third year, as the nation's GDP expands by as much as 2.5 percent. GDP grew 1.8 percent last year, according to the median forecast of economists surveyed by Bloomberg News last month. The December payrolls report capped four months of declines in the unemployment rate andsix consecutive months of jobs gains of at least 100,000, indicating the labor market is gaining momentum heading into a presidential election campaign season that will be shaped largely by the state of the economy. | 
