Jobless claims jump to highest level since 2021 in good sign for Fed

NY Post ^ | 05/11/2023 | Reuters

[ChicagoConservative27]

The number of Americans filing new claims for unemployment benefits jumped to a 1-1/2-year high last week, pointing to widening cracks in the labor market, which together with subsiding inflation could allow the Federal Reserve to halt further interest rate increases next month.

Cooling price pressures were underscored by other data from the Labor Department on Thursday showing producer prices rebounding modestly in April, leading to the smallest annual increase in producer inflation in more than two years.

The reports suggested that demand was slowing and raised the risks of a recession later this year.

“The Fed looks closer to winning the war on inflation today, but it risks losing the war on keeping the economy afloat and away from the shoals of recession,” said Christopher Rupkey, chief economist at FWDBONDS in New York.

[ChicagoConservative27]

But diapers Biden said the economy is booming....

[traderrob6]

I click on link so you don’t have to:

“Initial claims for state unemployment benefits increased by 22,000 to a seasonally adjusted 264,000 for the week ended May 6, the highest reading since October 2021. Economists polled by Reuters had forecast 245,000 claims for the latest week.”

[Auntie Dem]

Wait...I thought Biden’s unemployment rate was at an all time low. How can the rate be low, but jobless claims at a high? Maybe that’s the result of democrat lackey government employees cooking the books?0

[SaveFerris]

Oh good - more people out of work - yay! Dead may have to create a new version featuring Joe - add TruCastro peeking over from up North

[Pajamajan]

bttt

[Pajamajan]

bttt

[Bernard]

Part of the reason unemployment is not higher than it is, is the number of people employed at the expensive hotels our government pays to warehouse illegal aliens all across the country. Not to mention bus company and airline employees who are moving the illegals all over. I hope the buses and airplanes are all electric so we don’t use petroleum to plant illegals everywhere.

[FES0844]

Fake numbers. MAGA!!

[ConservativeInPA]

“The Fed looks closer to winning the war on inflation today, but it risks losing the war on keeping the economy afloat and away from the shoals of recession,” said Christopher Rupkey, chief economist at FWDBONDS in New York.

For many Americans the recession began sometime ago. Paycheck purchasing power has receded. In other words, pay has not increased at the same rate of inflation. The really sorry news is that if pay did keep pace with inflation it would only add to inflation.

Worse economic news came out last Friday, when it was announced non farm labor productivity fell by 2.7% in Q1. That’s the fifth consecutive quarter of declining labor productivity. Non farm labor costs rose 6.3% in Q1. It is inflationary when businesses make less for more. Regulations are partly to blame. Thanks Brandon. I also think workers are in a funk. What did Jimmy Carter call it? ‘Malaise’, yeah that’s the ticket.

[adorno]

Something is majorly wrong when higher unemployment claims are good for the economy.

[ExTxMarine]

“Subsiding inflation...” What is this idiot talking about? inflation just came out HIGHER than last month and other months were adjusted UPWARDS!

Who do these people think they are lying to?!? The only people believing their drivel are those who are willfully ignorant and themselves!

[MrRelevant]

Lol the fed “wins” the country loses…. Nice spin. I cant wait for the crash. These folks need more pain and suffering

[newzjunkey]

Unexpected /s

[woodbutcher1963]

They will keep raising interest rates until unemployment gets to 3.8% or more.

Every since covid, a much larger percentage of the population have more money than they know what to do with. That is why they went out and bought RVs, boats, the decks, hot tubs, and all sorts of other big boy toys and home improvements.

That is slowly coming to an end. As people become unemployed. They stop going out to dinner and spending money on tings they do not need. That is when we will be well into the recession.

Then they will stop raising rates. Flatten out for awhile and eventually start to lower interest rates.

[adorno]

Every since covid, a much larger percentage of the population have more money than they know what to do with.

That money was spent almost immediately and nobody is getting that money anymore.

The reason for higher interest rates is because of inflation, which is not due to higher employment or because of people spending more. Inflation is because of the stupidity of government spending that was and is out of control. And even now, the Biden administration is insisting on a higher credit limit in order to spend even more. Spending may be out of control, but it's not because of people spending their covid money.

[SaveFerris]

[The only people believing their drivel are those who are willfully ignorant and themselves!]

That would be the regular viewers of CNN and MSNBC.

[gitmo]

Thank you. I’ve been trying to figure out what they are talking about. The whole thing seems convoluted.