FLINT TOWNSHIP -- Consumer confidence is up, unemployment is down, and the DOW looks like it’s turning around.

NBC25 talks to a financial expert to see what this means for Mid-Michigan’s economy

Experts say even though the financial sector seems to be getting better, they’re encouraging their clients to be optimistically cautious.

Encouraging business news, the Labor Department reports applications for unemployment have fallen for the fourth time in five weeks. 

"Like I have a new co-worker and she is a student at SVSU as well, she's a sophomore and she just recently got a job on campus," said SVSU Student Henry Hsiung.

In September analysts say retail sales were up nearly 3% because of back-to-school shopping.

"I bought a ton of tunics, some long shirts," said shopper Kolye Goodman.

The DOW almost reached 11,000 points Thursday, a five month high,

"We just recently became very conservative in our investments, and it changed about six weeks ago, so I’m kind of thinking daren’t I wish we hadn't done that," said investor Judy Volker.

I asked NBC25's financial expert Dave Boike if all this means the market is on the road to recovery.

"I believe the answer to that is no, there is too many negative things out there that need to be addressed, we have an election coming up in November, and unanswered questions about taxation," said NBC25's financial expert Dave Boike.

Boike says federal stimulus money is causing the market jump, but the recovery is short lived.

"The stimulus plan can be akin to camping, its rained all night the night before, and there is a lot of wet fire wood out there, so we try to get the fire going by dumping on some gasoline, it starts up a nice big blaze, but when the alcohol burns off and the flame is gone, we still have wet smoldering firewood," said Boike.

Boike tells his younger investors they have time on their side and to buy low now, but encourages retirees to be cautious.

"Because one bad mistake, or one bad year could take away up to a third of what's taken 30, 40, 50 years to set aside," said Boike.

And Boike says those who lost money investing in 2008, won't get it back until at least five years.

According to mortgage giant Freddie Mac, mortgage rates have fallen to a new record low at 4.27%.

Despite the low mortgage rates, there has not been a jump in home sales.