Friday, November 4, 2011

October Employment Data: +80,000, Unemployment Rate Falls to 9.0%

The monthly data is in (all to be revised in the future) and drumroll....

+80,000 on the job front (a slight miss versus expectations)
However, the unemployment rate fell from 9.1% to 9.0% (one assumes the labor force again contracted which is not the reason you want the unemployment rate to fall)

Private sector: +102,000

Revisions: +102,000 added back to the previous 2 months.

Some underlying stats

Hourly wages: +0.2%.
Average work week unchanged at 34.3.
U-6 (broader unemployment including those who wish to work full time but work part time): 16.2% down from 16.5%.
Labor force participation rate remained flat at a very low 64.2%.

There is some crowing about a drop off in long term unemployed - one wonders if those "99ers" found jobs or simply disappeared from the workforce.  Remember in America once you are not actively looking for work, you no longer count in the labor force.
  • In October, the number of long-term unemployed (those jobless for 27 weeks and over) declined by 366,000 to 5.9 million, or 42.4 percent of total unemployment.

Data is consistent with much of what we are seeing elsewhere - a "meh" economy that is churning along slowly but not enough to make a dent to unemployment or make those who feel like we are in a recession, change their mind.

The market rallied from down about 0.4% to positive 0.2% on the news.  BLS report here.

Disclaimer: The opinions listed on this blog are for educational purpose only. You should do your own research before making any decisions.
This blog, its affiliates, partners or authors are not responsible or liable for any misstatements and/or losses you might sustain from the content provided.

Copyright @2012