Thursday, April 8, 2010
Once Again, Initial Jobless Claims Unexpectedly Rise
This is at least the third time I've seen the headline - "Unexpected Rise in Jobless Claims." I may even be underestimating. We understand that economists have often predicted monthly declines, which did not occur, but why do journalists insist on using the word "unexpected" when no one really knows how and when our economy will recover?
Regardless, initial jobless claims rose by 18,000 to 460,000, but the total number of Americans with continuing benefits fell by 131,000 to 4.55 million. The decline in continuing claims is due to increased hiring and the expiration of benefits.
Unfortunately, economists claim that initial unemployment claims must fall to 400,000 before the economy can begin to consistently add jobs. We're all rooting for that, but not many are forecasting it anytime soon.
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