This really should not come as a surprise to anyone – U.S. Initial Jobless Claims Rose More Than Forecast
More Americans than forecast filed claims for unemployment benefits last week, a reminder that the labor market will be slow to recover.
Initial jobless applications rose by 11,000 to 531,000 in the week ended Oct. 17, from a revised 520,000 the prior week that were the fewest in nine months, the Labor Department said today in Washington. The number of people collecting benefits fell, while those receiving extended benefits increased.
Economists project the unemployment rate will reach 10 percent by the first quarter of 2010, underscoring the risk to consumer spending, the biggest part of the economy. Companies cutting costs remain reluctant to hire, even as they’ve eased dismissals from levels seen earlier this year.
Things to remember:
1) There is the “initial” number for jobless claims and the “continuing”
2) Continuing may show drops as the government stops counting people after benefits run out
3) I believe we will hit 10% on the reported unemployment this year, unless the records are complied to show the drop in benefits
4) Actual unemployment is between 16% and 22%
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