Claims for U.S. jobless aid suggest modest hiring
WASHINGTON (AP) - The number of Americans seeking unemployment benefits jumped 20,000 last week to a seasonally adjusted 362,000, though it remains at a level that suggests slow but steady improvement in the job market.
The Labor Department said Thursday that the four-week average, a less volatile measure, rose 8,000 to 360,750, the highest in six weeks. A department spokesman said heavy snowstorms in the Northeast didn't affect the total.
Applications for unemployment benefits are a proxy for layoffs. Even with last week's jump, they have trended downward recently. The four-week average has declined 7.5 percent since mid-November and fell to a five-year low three weeks ago.
Weekly applications "continue to show no sign of trending up," Jim O'Sullivan, an economist at High Frequency Economics, wrote in a research note. "That is a good sign ... consistent with the recent pace in employment growth at least being maintained."
Employers added an average of 200,000 jobs a month from November through January. That was up from about 150,000 in the previous three months.
Last week's increase puts applications for unemployment benefits back in the 360,000-to-390,000 range, where they have fluctuated since early last year. Since then, employers have added an average of 181,000 jobs a month.
In January, the economy added 157,000 jobs. The unemployment rate ticked up to 7.9 percent from 7.8 percent in December. Economists think the rate will slowly decline if hiring continues at last year's monthly pace of 180,000. The unemployment rate fell 0.7 percentage point in 2012.
A total of 5.6 million people received unemployment benefits in the week that ended Feb. 2, the latest period for which figures are available. That's about 300,000 fewer than in the previous week. Some of those no longer receiving unemployment aid may now be employed. But many others have exhausted the benefits available to them.
The economy shrank at an annual rate of 0.1 percent in the October-December quarter, hurt by a sharp cut in defense spending, fewer exports and sluggish growth in company stockpiles. That was much worse than the 3.1 percent growth recorded in the July-September period.
But economists predict that the October-December growth figure will be revised in coming months to show a small increase, after more positive data about last quarter has been reported. Economists now estimate that the economy expanded at an annual rate of about 0.4 percent in the fourth quarter.
Growth will likely pick up a bit in the January-March quarter to an annual rate of 1.5 percent, analysts forecast. That's better than the fourth quarter but below last year's expansion of 2.2 percent.
The Labor Department said Thursday that the four-week average, a less volatile measure, rose 8,000 to 360,750, the highest in six weeks. A department spokesman said heavy snowstorms in the Northeast didn't affect the total.
Applications for unemployment benefits are a proxy for layoffs. Even with last week's jump, they have trended downward recently. The four-week average has declined 7.5 percent since mid-November and fell to a five-year low three weeks ago.
Weekly applications "continue to show no sign of trending up," Jim O'Sullivan, an economist at High Frequency Economics, wrote in a research note. "That is a good sign ... consistent with the recent pace in employment growth at least being maintained."
Employers added an average of 200,000 jobs a month from November through January. That was up from about 150,000 in the previous three months.
Last week's increase puts applications for unemployment benefits back in the 360,000-to-390,000 range, where they have fluctuated since early last year. Since then, employers have added an average of 181,000 jobs a month.
In January, the economy added 157,000 jobs. The unemployment rate ticked up to 7.9 percent from 7.8 percent in December. Economists think the rate will slowly decline if hiring continues at last year's monthly pace of 180,000. The unemployment rate fell 0.7 percentage point in 2012.
A total of 5.6 million people received unemployment benefits in the week that ended Feb. 2, the latest period for which figures are available. That's about 300,000 fewer than in the previous week. Some of those no longer receiving unemployment aid may now be employed. But many others have exhausted the benefits available to them.
The economy shrank at an annual rate of 0.1 percent in the October-December quarter, hurt by a sharp cut in defense spending, fewer exports and sluggish growth in company stockpiles. That was much worse than the 3.1 percent growth recorded in the July-September period.
But economists predict that the October-December growth figure will be revised in coming months to show a small increase, after more positive data about last quarter has been reported. Economists now estimate that the economy expanded at an annual rate of about 0.4 percent in the fourth quarter.
Growth will likely pick up a bit in the January-March quarter to an annual rate of 1.5 percent, analysts forecast. That's better than the fourth quarter but below last year's expansion of 2.2 percent.
The way things are going with the state and local government, more and more companies are going to leave Washington and their increased B&O taxes, etc.
I wonder how many of these statistics do not take into account the large number of people on unemployment who's benefits have ran out and are no longer tracked by the "system"
@JeepRex"The way things are going with the state and local government, more and more companies are going to leave Washington and their increased B&O taxes, etc."
Thats possible, but the numbers suggest different. The "right -to-starve states" are mixed right in with the states that have "right to feed your family" in terms of factories closing and moving
 A study done by the Economic Policy Institute claims the following findings. (I assume they used government provided data so, I doubt it could be very accurate).
"Jobs displaced due to growing deficits with China equaled or exceeded 2.2 percent of total employment in the 12 hardest-hit states: New Hampshire (20,400 jobs lost or displaced, equal to 2.94 percent of total state employment), California (474,700, 2.87 percent), Massachusetts (92,700, 2.86 percent), Oregon (50,200, 2.85 percent), North Carolina (110,300, 2.67 percent), Minnesota (72,300, 2.66 percent), Idaho (18,200, 2.65 percent), Vermont (8,000, 2.43 percent), Colorado (57,800, 2.38 percent), Texas (239,600, 2.26 percent), Rhode Island (11,800, 2.24 percent), and Alabama (43,900, 2.20 percent)."
Unemployment is headed back and the recession will revive.
I base my opinion of the job market on my surroundings.
We just welcomed a family into our rental home for the next year, my sister is planning her wedding and thinking of babies, my boyfriend and I will be able to book a cruise for the first time in six years.
My employer is hiring, acquiring a new property next week, we are breaking sales records for the second month straight, a new hire told me proudly that Wednesday was her final unemployment check after seven months job hunting.
Things are looking up for both me and those around me. I hope they are for you, too.
Definitely looking like it will be a stagnant decade. Aside from housing increases, there doesn't seem to be much going on economically that will help things improve. I'd almost bet we'll hit another recession before we get back to healthy unemployment numbers again.
@Paddy Yeah, I think you're right. 6 years in and still nothing. The stock market is fully recovered while millions starve. I have never seen such a disconnect in a "consumer based economy". Kinda tells you where the our precious "Job Creators" are creating jobs. Our work force participation rate is 63.6 and it has been lower only once and that was last August.
@Paddy GDP predictions are BS if you ask me. I don't see how an economy can grow when people are paying higher taxes, gas prices are rising. And let's not forget the sequestration battle. Big automatic government spending cuts set to take effect March 1st.
Obama wants higher taxes to keep spending. I'm telling you now. There is no way in hell the House will budge on this. Obama got higher taxes already, so he is going to have to get out the surgical tools and work with congressional republicans. I highly doubt our leader is capable of that.
The new recession surprise is right around the corner. Just 1 person's opinion, and I agree with your post.
Modest? Hiring has been going sideways for a long time. Not to mention the workers who have given up looking or exhausted all their benefits. They are not counted in the unemployed.
Payroll taxes increased. Taxes on the rich have increased. So Obama got what he wanted. Now gas is rising, putting a crimp on consumers who already are a bit stung by the higher tax rate.
Are people really just blind or ignorant. Time for another drop in the stock market, once investors see how the average consumer is hurting right now.
How's your hope and change working out folks?