Weekly Jobless Claims at a Five-Year Low

US_Dept_of_LaborThe Labor Department's report on weekly jobless claims continues to go against many of the headlines we are seeing elsewhere. Last week brought a drop to 323,000, the lowest weekly jobless claims in five years, since before the recession took hold. The previous week's reading of 324,000 was revised slightly higher to 327,000.

Today's report was better than all economists were calling for. Bloomberg showed an economist range of 326,000 to 341,000. The consensus from both Bloomberg and Dow Jones was 335,000.

Recent bond strength may need to take a breather if the jobless reports are going to keep getting better and better. The FOMC has set an easy money interest rate policy until unemployment returns to 6.5%, and it even raised the threshold on what it would accept for inflation to get the workforce back to where it needs to be.

This was a good report, but it is just a weekly report. The Federal Reserve likely will keep its finger on the "buy button" for quite a bit longer.


Filed under: 24/7 Wall St. Wire, Jobs Tagged: featured

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janeswizzle

It's really sad when the only boost to the economy is Ben Bernanke dumping funny money on the banks. This can't last forever, eventually we are going to run out of ink and paper.

May 11 2013 at 2:47 PM Report abuse rate up rate down Reply
janeswizzle

Well this doesn't surprise me as most places are operating with skeleton crews now. This administration is making it difficult for small business to operate with legislation like HB3200.

May 11 2013 at 2:44 PM Report abuse rate up rate down Reply