Jobless claims fall for second time in 3 weeks

http://news.yahoo.com/s/ap/20101209/ap_on_bi_go_ec_fi/us_economy

"WASHINGTON – Applications for unemployment benefits dropped last week to the second-lowest level this year, evidence that companies are cutting fewer jobs.

The Labor Department says first-time claims for jobless aid fell by 17,000 to a seasonally-adjusted 421,000 in the week ending Dec. 4. Wall Street analysts had expected a smaller decline.

The four-week average of claims, a less volatile measure, dropped for the fifth straight week to 427,500. That's the lowest since August 2008, just before the financial crisis intensified with the collapse of Lehman Brothers.

Claims have fallen steadily in the past two months, raising hopes that companies will soon accelerate hiring. Applications dropped to 410,000 two weeks ago, their lowest point in more than two years."

thank goodness!

Wage growth is tied to GDP growth. And as long as GDP growth is hovering at 2.5% we ain't creating any new jobs. The compromise is supposed to juice GDP by one half to one percent. That will help. Let's see.

We are literally dying for good news...

Quite a clearly defined trend (with the week to week volatility one would expect) from Feb 2009.

On the shorter term we had a sideways pattern in the in the 450K to 500K range for the first 7 months of the year before starting a new leg down since July.

which clearly shows that things are improving from the peak in 2009

There are fewer jobs out there...there are going to be fewer to lose.
The bloody cuts have already been made.
Most companies are operating on a shoestring staff and only what they HAVE to have to get by.

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