Jobless Claims Drop To Lowest Level Since April 2008

WASHINGTON - New claims for unemployment benefits dropped last week to its lowest in more than 3-1/2 years, suggesting the labor market recovery was gaining speed.

Initial claims for state unemployment benefits dropped 4,000 to a seasonally adjusted 364,000, the Labor Department said. That was the lowest level since April 2008.

The economy has shown signs it is gaining steam as the year ends, although the recovery still could be derailed by any big flare up in Europe's debt crisis. The economy also faces risks from the fight in Congress over extending special unemployment benefits and a payroll tax cut.

The prior week's claims data was revised up to 368,000 from the previously reported 366,000.

Economists polled by Reuters had forecast claims rising to 375,000 last week.

The level of unemployment claims has fallen in recent weeks, and analysts say fewer layoffs means employers are probably more likely to hire.

Economists at Goldman Sachs said earlier in the week that weekly claims below 435,000 pointed to net monthly gains in jobs. Their research was based on figures available through October.

In November, the jobless rate dropped to a 2-1/2 year low of 8.6 percent. The Federal Reserve last week acknowledged an improvement in the jobs market, but said unemployment remained high and left the door open for further measures to help the economy.

A Labor Department official said claims were not estimated for any states, and that there was nothing unusual in the data.

The four-week moving average of claims, considered a better measure of labor market trends than the headline number, fell 8,000 to 380,250 -- the lowest since June 2008.

The number of people still receiving benefits under regular state programs after an initial week of aid fell 79,000 to 3.546 million in the week ended December 10.

Economists had forecast so-called continuing claims holding steady at 3.6 million.

As of Dec 3, a total of 7.150 million people were claiming unemployment benefits under all programs, down 299,738 from the prior week.

(Reporting by Jason Lange; Editing by Neil Stempleman)

Copyright 2011 Thomson Reuters. Click for Restrictions.

Comments

[sophiajim]

12:13 AM on 12/24/2011

I thought I would have to watch Fox to see how they would spin the some what good news but reading the repubs on here I don't have to watch tomorrow. Caint you people stand any good news? Why make it all bad? Are you wishing for bad things to make the right look good and Obama bad? If things get real bad again the next people on food stamps may be one of you

[l78lancer]

12:10 AM on 12/24/2011

How does this compare to the job creation numbers?

[Eagleman]

08:19 PM on 12/23/2011

Great

Obama solved the unemployment problem. Even OWS is hiring people....

[Trustfunded1]

06:27 PM on 12/23/2011

See,Obama saved the economy.

sarc

[castlemike]

02:47 PM on 12/23/2011

http://globaleconomicanalysis.blogspot.com/

Consumers Win Game of Chicken; 40-60% Off "Entire Store" at Some Retailers; Low Prices are Good; US Senate Economic Illiteracy

Buyer's Remorse

I have questioned all these glowing retail sales estimates in light of Buyer's Remorse; Record Volume of Returns Before Christmas; $217 Billion Returns Expected, Up 14%.

Retail Sales Not In Alignment With Shipping

Moreover, stores were supposed to be run low on merchandise so they could charge full prices. Yet reported retail sales are not in alignment with truck fuel usage as noted in Ceridian Fuel Index Shows Christmas Doesn't Come Early to the Trucking Industry

However, the Ceridian index is in essential alignment with with energy usage as noted on December 9 in US Petroleum and Gasoline Usage Plunges Last 5 Weeks Compared to Prior Years

Consumers Win Game of Chicken

Today we get a third piece of evidence that all is not well in retail-land. In spite of a glowing "Black Friday" reports, consumers held back and won a victory over retailers.

[fortressfountain]

01:46 PM on 12/23/2011

People are not counted as unemployed when their 6 month or so benefits run out. Soon, we will be hearing about what a great job the politicans have done creating jobs or that people found work when their benefits ran out.
Just ignore people and hope they go away.
Wow, no one counts unless you are a millionaire.

[sophiajim]

12:06 AM on 12/24/2011

Did you look at other facts that are getting better to? And all with no help from the GOP

[Terri Skau]

01:01 PM on 12/23/2011

Alex, I'll take Jobless Claims Drop To Lowest Level Since April 2008,

For 1,000.

[Terri Skau]

01:09 PM on 12/23/2011

These numbers do not reflect the "Truth"?

[Its Me rob2tall]

12:47 PM on 12/23/2011

My posts may sound a bit angry-and I am-but as its the day before Christmas...
I wish all of you everywhere blessings and may we all have a Merry Christmas :>)

[l78lancer]

12:07 AM on 12/24/2011

I hope they serve turkey dinner and egg nog at your anger management session.

Thank you, and same to you. ;)

[Its Me rob2tall]

12:44 PM on 12/23/2011

I think that every member of Congress ought to be required to spend at least 2 months a year in shelters for the homeless-in volunteer positions with food banks, the Salvation Army, Red Cross shelters, or out on the streets trying to help the homeless.A cold slap in their faces is what America needs! I'm all for cutting their salaries to $10 an hour-no medical benefits,no housing benefits,no company car,no clothing allowances and no food stamps. See how often they vote to allow big corporations to export jobs,or vote to reduce benefits to the unemployed,approve bank bailout loans so banks can repo your homes!

[Its Me rob2tall]

12:37 PM on 12/23/2011

I hate to point it out-but with out seasonal holiday jobs-the unemployment rate would be higher than it was.And after the New Year rings in it will jump higher than before 2008 as all our troops returning from war are unemployable. So add another 300,000 to the list in January or February-minus the 10-20,000 that we will simply rotate back to Afghanistan or another hot spot elsewhere.
Up here in Everett,WA-Kimberly Clark is shutting down its last paper mill-so we will see another 1,000 lose jobs which includes about 300-500 support jobs for small businesses that support the daily operations of one of the largest paper mills in America.
Do not believe any of the rates you read as they do not include the homeless-or do they? as there are between 2-6 million currently homeless in the USA.Thats like the entire city of
Los Angeles in one massive tent city.

[sophiajim]

12:09 AM on 12/24/2011

They had holliday hirings in 2008,2009, and 10 so as for that you have to go by the report better than 2008 when we was losing 750000 jobs a month

[SteveDenver]

10:00 AM on 12/23/2011

What do the numbers of JOBLESS CLAIMS tell us?

They don't represent the number of unemployed, under-employed, or those who have given up looking.
They don't represent the number of workers who have exhausted their jobless benefits.
They don't represent the number of workers who lost employment based on contractor status.
They don't represent very much, but sure get a lot of airtime.

[Elyriaohio]

06:11 AM on 12/23/2011

Have we hit bottom? I doubt it. Lets keep pushing the same old economic/corporate policies that got us here.

[yweston]

03:55 AM on 12/23/2011

I made a decision to "Buy American" in 2012.

[OldTulsan]

10:50 AM on 12/23/2011

"Made in USA", "Made in China" labels may soon be replaced by "Made in the World"...

http://www.manufacturingnews.com/news/11/0930/madeintheworld.html
European Technocrats May Soon Deprive Americans Of Knowing Where Everything They Buy Is Made

"The World Trade Organization, the OECD, the International Chamber of Commerce and the European Commission are moving aggressively to eliminate "Country of Origin" labeling, claiming that it does not reflect the current structure of global trade. The Europe-based organizations instead want to adopt a "Made in the World" logo for all products on the grounds that global supply chains have rendered country of origin labeling inaccurate and obsolete.

The intent of the proposal is to reduce public pressure on politicians for protectionist trade policies..."

[Markrsm]

02:31 AM on 12/23/2011

Dear Friends,

After you have been unemployeed for 99 weeks, they do not count you anymore, soon the rate will be zero.

[Durrrrrr]

06:51 AM on 12/23/2011

Dear uneducated fool,

INITIAL UI claims counts people applying for UI benefits for the first time (i.e. just fired). People dropping off of UI has NO IMPACT on INITIAL UI claims.

[Markrsm]

06:34 PM on 12/23/2011

Dear Durrrr,

I am not talking about Initial claims I am talking about peope on unemployment, if somebody no longer get unemployment checks and does not show up at the unemployment office, they are not counted.

The main reason unemployment rate is down, is not that employment is up, it is people have been out of work for over 99 weeks, and do not list themselves as unemployed.

A better number would be percent of US labor force with a job, this rate is unchanged.

The civilian labor force participation rate declined by 0.2 percentage point to
64.0 percent. The employment-population ratio, at 58.5 percent, changed little.
(See table A-1.)

That means the number of people looking for work decreased by 0.2 percent and the percentage of the population with job did not change.

As you are very educated, and I just a fool, it forces me to go to use sources that produce data that only a fool like me could understand

If you want to look at real data that fools us, I would recommend this site http://www.bls.gov/news.release/empsit.nr0.htm

As it gives you data.

[roger g]

02:14 AM on 12/23/2011

My money says the only reason the rate is down is people like me who took forced early social security at age 62 and are considered out of the labor force and no longer seeking employment.