Jobless Claims Rise To 429,000 Further Indicating Weak Recovery

WASHINGTON - New claims for unemployment benefits rose more than expected last week, a government report showed on Thursday, suggesting little improvement in the labor market this month after employment stumbled in May.

Initial claims for state unemployment benefits climbed 9,000 to a seasonally adjusted 429,000, the Labor Department said. The prior week's figure was revised up to 420,000.

Economists polled by Reuters had forecast claims to edge up to 415,000 from a previously reported count of 414,000.

The claims report covers the survey period for the government's closely watched data on nonfarm payrolls for June.

Claims increased 15,000 between the May and June survey periods, implying little or no gains in nonfarm payrolls this month after a modest 54,000 increase in May.

The data is the latest in a series to underscore the weakness in the economy, which has persisted through the second quarter.

The Federal Reserve on Wednesday acknowledged the slowdown, but generally perceived it as temporary. Although it cut its growth forecasts and downgraded its view of the labor market, it gave no indication of further monetary support.

The U.S. central bank confirmed it was winding up its $600 billion bond-buying program at the end of June.

A Labor Department official said technical problems had resulted in claims for six states being estimated last week.

The four-week moving average of new jobless claims, considered a better gauge of labor market trends, was unchanged at 426,250.

Initial claims have now been above the 400,000 mark for 11 weeks in a row. Analysts normally associate that level with a stable labor market.

The number of people still receiving benefits under regular state programs after an initial week of aid was little changed at 3.70 million in the week ended June 11.

Economists had expected so-called continuing claims to nudge down to 3.67 million from a previously reported 3.68 million.

The number of people on emergency unemployment benefits rose 5,728 to 3.30 million in the week ended June 4, the latest week for which data is available. A total of 7.54 million people were claiming unemployment benefits during that period under all programs.

(Reporting by Lucia Mutikani, Editing by Andrea Ricci)

Copyright 2011 Thomson Reuters. Click for Restrictions.

Comments

[Apathy101]

10:31 AM on 06/28/2011

Well maybe if somebody in the white house or congress was actually doing something about unemployment rather than ignore it.

The senate dug up the dream act which is a TOTAL waste of time because the GOP house will not pass it. And Obama's he's umm.... what the heck has he been doing the last few months other than playing war in Libya. Err oh wait its not a war its a a a umm?

[GonzoFL]

10:39 AM on 06/25/2011

"The Federal Reserve on Wednesday acknowledged the slowdown, but generally perceived it as temporary".

Besides the cockroach and Keith Richards,what isn't temporary?

[irochfpst]

11:54 PM on 06/24/2011

there is no reason to write a new article about this. just use last months article. it is the same and will be for a long, long time.

[gerald4]

07:24 PM on 06/24/2011

Does anyone believe that the USA should adopt the socialist/communist form of government like Russia where everybody has a job working for the government, the government owns everything, and the government collects everything that the people produce and then some politically appointed family connected government elite bureaucrat doles out the food, shelter, and clothing required to sustain our lives according to his/her whim or desire?

Most of the individuals in any future communist USA would want to work at something other than producing the basic food, shelter, clothing and other products required to sustain life.

The producers would strive to become members the a non-producing greedy government elite bureaucrat society, demanding and wanting the disgruntled producers to produce more and more so that privileged individuals of the government elite bureaucratic society class can keep themselves busy as musicians, poets, actors, social workers, philosophers, historians, politicians, bureaucrats, administrators, police, firemen, military, school teachers, judges and other endeavors that do not create any of the food, shelter and clothing necessary for maintaining the lives of the population.

The non-producing members of the government elite bureaucratic society will then let, require, and/or force those that the elite have deemed to be lower class to work harder and produce more and more of the food, shelter, and clothing required to sustain the lives of all of the people including the elite class of bureaucratic government employees.

[gerald4]

07:26 PM on 06/24/2011

Under the communist system, some citizens (the non-producing greedy elite family connected government bureaucrats) are "MORE EQUAL" than other citizens (the lower class citizens that make the things that the elite government bureaucrats (and the producers) consume!

US citizens would then have traded businessmen, industrialists and Wall Street financial wizards who now control the conditions and terms of their employment (or servitude) for an elite class of family connected (almost royal) government bureaucratic employees who will be controlling our employment (or our conditions of servitude), and they would then dole out our share of the necessities of life to each of us according to our needs, not according to the amount that we produced!

[demilieu]

04:30 PM on 06/27/2011

You really don't get it.

[sophie M]

06:55 PM on 06/24/2011

there is no remedy..

[gerald4]

06:48 PM on 06/24/2011

Real Wealth and THE ASSOCIATED JOBS TO CREATE WEALTH FOR OTHERS is created and/or acquired mainly (maybe only) when the members of a family (or citizens of a nation, city-state, island, tribe, etc.) perform one or more of the following tasks:

1. plant, grow and/or harvest something of commercial value from the earth;

2. extract something of commercial value from the earth;

3. manufacture or construct something of commercial value that is consumable or permanently useful for rental income;

4. provide professional services (medical, legal, dental, engineering, architecture, land surveying, technology, accounting, etc.);

5. collect payment for patent and copyright uses;

and then trade, sell, lease or rent these items and/or services to parties outside of their family, in return for a net transfer of gold, currency or commodities from other parties outside of their family into their own family.

The members of that family (tribe, state, nation) can then reflect their real wealth and financial security with the net positive accumulation of grain, gold, cattle, jewels, land, buildings, hotels, casinos, factories, commodities and/or other marketable products.

[gerald4]

06:51 PM on 06/24/2011

The entire world population has always concentrated on producing enough food, shelter and clothing to survive, and then also producing as much excess as possible to sell and/or trade to others outside of their own family (or tribe, state, or nation) in order to accumulate wealth to be used for economic security for reserve use in times of emergency and/or also to raise the standard of living for the members of that family and also accumulate redeemable products and commodities as redeemable value for any printed currency that they might care to issue.

Some of this accumulated wealth is then also available to be taxed in order to create funds to form a government with money to build schools, streets, water and sewer systems, repay sovereign national debts, spend for pork barrel projects, green projects, infrastructure projects, wars, streets, bridges, highways, welfare, unemployment, school teachers, policemen, fire fighters, social security and other government provided bureaucratic services for that family.

There are limits to the amount of wealth that can be taken from the wealth creators in the form of taxes and paid to the government for various expenses, no matter how much these government expenses are deemed as being "necessary" (by the elite government bureaucrats).

[demilieu]

04:41 PM on 06/27/2011

I'm a 2 years+ out of work, licensed architect with a Masters degree from a prestigous university and 10 years of experience. Your logic isn't valid. The problem we have is due to reduced demand. There is no shortage of experienced workers hunting in the jobs market. I know because I run into the same 300 people every time I apply for a job somewhere. 300 applicants for a single opening.

The only services that have not seen reduce in damand are medical and maybe dental, Because people will always fall ill or get a tooth ache. All of the other services depend on the larger economy and how the construction sector - commercial, residential and institutional - is doing. And they are all doing poorly. In my estimation, this government has done 'zero' the past 4 years to get construction back on track. All of their weight has been thrown into restoring Wall Street and the banking system; cetainly important for the health of the economy, but I'd argue only a half-assed measure to fix the problem.

All of the problems we see in the economy are what happens when government deregulates banking and finance and lets people with questionable ethics run our economy into the ground for their short-term gain. So, in my estimation, a healthy dose of socialsm (not communism) into the mix is a good thing.

[gerald4]

05:30 PM on 06/27/2011

My point is that China is a net creator of Wealth and the USA is a net consumer (destroyer) of Wealth.

There is no demand for workers because H1b workers with engineering degrees are happy to work for minimum wages and a green card.

Most of the large US engineering construction firms here in Houston outsource the CADD drafting and the detailed engineering effort to India and/or Pakistan.

There will soon no technical design capability when US recent graduate engineers are not trained as engineers by performing detailed engineering and CADD drafting under the direction of an older and experienced engineer in an apprentice/mentoring type experience as required for a professional engineering license.

We need legislation to impose prohibitively high import duty tariffs to prohibit the import of technical engineering services and CADD drafting services.

I understand that the Practice of Architecture is undergoing similar conditions.

[RMorr2002]

01:13 PM on 06/24/2011

HEY LIBS!!!!  Tell us again how obama is doing such a great job!

[irochfpst]

11:55 PM on 06/24/2011

with republicans behind him who needs enemies of the people.

[demilieu]

04:44 PM on 06/27/2011

And your proposed solutions are...?

[Kenz300]

01:04 PM on 06/24/2011

Too many people are chasing too few jobs. But we keep adding more people thru legal and illegal immigration. We need to reduce the number of people coming in using H1B visas. Employers need to hire from the millions of unemployed and under employed people already here and looking for work.

[Devil Theory]

11:58 AM on 06/25/2011

We also need to stop paying people to have children. It won't be much longer before our entire planet will be over-populated anyway, no need to rush to get there.

[KM1963]

12:51 PM on 06/24/2011

This is soooo rediculous. We need a Tier 5 or HR589 now. Benefits should continue until the jobs that were promised are delivered and the unemployment rate is at a normal level.
Speak up America and let them know how you feel before they take their all inclusive vacation.

[AZreb]

06:58 PM on 06/24/2011

We may be looking at a "new normal" of unemployment rates - a rate of over 9%.

[Keth30]

11:48 PM on 06/24/2011

Nah, as soon as we get rid of the anti-business administration which has caused businesses to freeze everything they're doing, we will be back on track again.

[spinotter11]

07:51 PM on 06/26/2011

Tier V or an equivalent extension is very unlikely to happen. Instead, get ready for more cuts to entitlement programs. PS: Entitlement means that one has a right to something because one has paid into a program or otherwise contributed. It does not mean something for nothing. I am entitled to social security because I contributed to it for my entire working career. Don't let the conservatives change the meaning of a perfectly good word with an already defined meaning.

[chicagobean52]

07:35 AM on 06/24/2011

When unemployment reports are made, PLEASE include the numbers for expired benefits. That the media continues to ignore these PEOPLE is both irresponsible and detrimental to any possiblility for assistance. While Washington tosses around fantom solutions to the jobs crisis, IF there is any reporting on the UNEMPLOYMENT CRISIS it is (deliberately?) consistently inaccurate. MILLIONS of Americans are bracing for ANOTHER 4th of July - where they have lost everything including hope, Washington heads out to vacation...

[AZreb]

06:58 PM on 06/24/2011

fanned - but the government needs to give ussome "feel good" numbers -

[thomas colopy]

03:11 PM on 06/25/2011

Fanned. Yes the 99ers dont exist in unemployment numbers.

I was thinking the other day since I wont be able to pay off my student loans anytime soon maybe I should just spend the rest of my life in college. Get Student loans get another degree. Then repeat.

And if i need medical I can just rob a bank for 1$ like that homeless guy did.
I'd prefer a job but since there isnt any......

[chicagobean52]

05:49 PM on 06/25/2011

Sound like a good plan - perpetual student. If you keep the status in deferment, you can get more loans. Pick a degree that will take many years and you don't have to worry about any payments till you graduate. Don't rob a bank though. If anything happens go to a catholic hospital - they don't turn you away because you don't have insurance - then pay $20 a month on the bill or file for bankrupcy. Most of all take care.

[spinotter11]

07:53 PM on 06/26/2011

Sigh! The unemployment rate has nothing to do with whether a person is receiving UI benefits or not. Read the CPS survey page on the BLS website to verify this. You are verifying the saying that if a falsehood is repeated often enough, it becomes truth. The 99ers are counted in U-3 if they are still looking for work, or in U-6 if not.

[Shelly Lancaster Spivey]

07:32 AM on 06/24/2011

Its up, its down, its up again. And then its down again. This isnt any sort of surprise. Where are the numbers for those folks that ran out of unemployment or who are not eligible for benifits? What are the real numbers? Show me the real numbers and I will pay more attention to these articles. What I am seeing, as a person who is unemployed (and not eligible for benifits because I lost my job due to an extended illness) is there are no jobs that pay enough to cover my fuel and car insurance, much less living expenses. I have a Master's Degree in a field that just two years ago was crying for people, now that I have graduated, they are laying off people left and right. Show me real jobs, that pay enough to keep the lights on, and then I will be impressed.

[thomas colopy]

03:19 PM on 06/25/2011

An master degree isnt enough. Stop being so lazy.
Shut up and go work for Mcdonalds.
Health care? you dont need that. You are too educated for health care. Why didnt you apply all that knowledge to your health? Also if you didnt need car insurance than maybe you could afford healthcare.

Stop being so lazy and go to school....... uh wait..uh.....get a job.........uh hang on hang on.............Stop being so..............uh....um.........

Stop being so...................

[spinotter11]

07:54 PM on 06/26/2011

See my comment above for those who are not collecting UI benefits.

[p456]

05:43 AM on 06/24/2011

I don't feel sorry for any unemployed republicans or tea party people. I hope you never work again ever and I don't care what happens to you.

[RMorr2002]

01:14 PM on 06/24/2011

Another compassionate Liberal!

[brylacos]

10:19 PM on 06/24/2011

Exactly why do you feel that way? The democratic president has been president for 2 1/2 years now and he is the one that promised all the jobs.. So why the grudge on repubs?

[rogergoldkin]

11:38 PM on 06/23/2011

Just wait until they throw all those public employees out on the street!

[OldTulsan]

12:42 AM on 06/24/2011

Like police officers, fire fighters, teachers, soldiers, sailors...

[treadway123]

12:48 AM on 06/24/2011

Thats why Employment is up! Republican States accross the this Nation have destroyed jobs left/right! Over 1000 public Worker jobs shot down in Wisconsin by Gov. Walker! Scott in Florida Refuseing to start High Speed rail that would have put thousands to work litteraly! Calif. layed off thousands of Goverment/State jobs to lower their deficits! Mostly Republican States have tanked as many jobs as they can to weaken our economy to make this President look weak! It won't stop here either, u watch them!

[BOKOBOT]

10:46 PM on 06/23/2011

Unemployment stands at a little above 9%, underemployment at close to 20%, including the vast majority of regular middle class workers. That means that close to 30 million households, and over 100 million people (folks have children, recall, a fact excluded by the "media") are affected. Almost all the "underemployed" are working at jobs that cannot sustain them in the basic necessities for much longer. This is the biggest loss of value in American history, bigger than the Great Depression. We are in a global depression and nothing real has been done--instead, it's all been fantasy-side economics, and stroking investors. Social unrest is exploding in Europe, a new country riots every day. East Europe gets no coverage at all because the economies there have completely collapsed. China's banks are filled with fixed capital ready to implode, and they've had to halt most of their giant infrastructure projects and send 20 million people back to the countryside to prevent rioting in the cities. Neoliberalism is a FAILED model, give up on it. It's done. It's populist leftism and a radical, system-wide structural change from below, or nothing.

[Shelly Lancaster Spivey]

07:36 AM on 06/24/2011

Some areas in my state have unemployment numbers in the 20 to 30%. My county is closer to 14%. I have no clue what the "underemployment" numbers are here, but Im sure they are higher. The media hasnt bothered to figure out how to track the folks that are not eligible or who have run out of unemployment. I suspect the numbers are much, much higher than the "unemployment" numbers that the media keep us looking at. During the Great Depression, there was unemployment to about the 30% mark at its peak nationwide, with some areas higher. I wonder if we are at that point now, or more, and we just arent being told. Wake up congress, we are looking at a crisis of epic proportion!!

[thomas colopy]

03:25 PM on 06/25/2011

Its a depression but they wont call it that because if they did it would make it even worse.

[BOKOBOT]

12:59 AM on 06/28/2011

There is a concerted effort by the media in this country to ignore and cover up...reality. It is incredible. They live on Mars.

[amiawesomeorwhat]

10:44 PM on 06/23/2011

And who is responsible for this disappointing news? Ultimately, it is the right wing, of course. I love how the conservatives are blaming this on Obama -- typical of conservatives! Excuse me, but our president is someone who actually cares about the middle class. This entire mess that we are in is due to deregulation and allowing utterly greedy rich men play with other people's money. Once again, we see that Democrats always have to clean up the mess left by Republicans.

[omnioasis]

11:23 PM on 06/23/2011

Ha ha ha ha you keep believing that, and santa will bring a new toy for xmas.

[treadway123]

12:53 AM on 06/24/2011

So why did the Republicans shoot down the Job Creation Bill than? Why have they given MILLIONS upon Millions in Tax Breaks an damage the revenue we should be taken in to sustain our country to the Multi Millionairs/Billionairs/Oil/Big Corperations an people like the Koch Bro's! Ya think they did that by mistake or something? No, it was to harm our economy to grab the W.H Back for GOP! What have they done sense take over of the congress/What bills have they passed that has helped any of us! NOT ONE DARN THING!

[OldTulsan]

12:44 AM on 06/24/2011

Both parties are guilty.

"The only difference between the Republican and Democratic parties is the velocities with which their knees hit the floor when corporations knock on their door. That's the only difference." -- Ralph Nader

[AZreb]

07:00 PM on 06/24/2011

fanned - love the quote

[amiawesomeorwhat]

10:50 PM on 06/24/2011

I know that not all Democrats have been perfect, ideal legislators; but there is a fundamental difference between the Democratic Party and the Republican Party: the Democratic Party is for people who think, who read, who are educated, and who listen to both sides of an issue. Republicans are motivated only by greed, hate, and mankind's worst qualities. A government with Republicans can't possibly lead to a just society.