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AP: Job Market Takes Break After Hiring Binge

From a dancing backwards, and in high heels Associated Press:

US job market takes a break after hiring binge

By PAUL WISEMAN, AP Economics Writer
April 7, 2012

WASHINGTON (AP) — The U.S. job market took a breather in March after its best hiring stretch since the Great Recession.

Employers added 120,000 jobs last month — half the December-February pace and well short of the 210,000 economists were expecting. The unemployment rate fell from 8.3 percent in February to 8.2 percent, the lowest since January 2009, but that was largely because many Americans stopped looking for work.

So this so called "binge," this "best hiring stretch since the Great Recession" actually only lowered the unemployment rate a whopping three tenths of on percent. From 8.5% in December, to 8.2 in March.

And even the AP has to admit that is mostly due to people giving up looking for work.

Still, few economists expect hiring to fizzle in spring and summer, as it did the past two years. And they blamed seasonal factors for much of Friday’s disappointing report from the Labor Department

Because we have had such a harsh winter. People were laid off because of all of the blizzards.

The report was also closely watched in political circles. If employers retreat on hiring, consumers could lose confidence in the economy and potentially dim President Barack Obama’s re-election hopes…

Which, after all, is the only thing that matters.

Economists also say the numbers can bounce around from month to month. Consistently creating 200,000 jobs a month is tough. The economy hasn’t put together four straight months of 200,000 or more new jobs since early 2000

And never mind that President Bush had a record 52 straight months of job creation that produced more than 8 million new jobs.

Economists are still encouraged by the recent hiring trend: Each month from January through March has generated an average of 212,000 jobs

And yet the unemployment rate did not go down even a full percentage point.

An improving economy is generating tax revenue and easing budget problems at city halls and statehouses across the country

Is it? We thought tax revenue was down?

The March slowdown brings back painful memories of what happened in mid-2010 and again in 2011, when the economy lost momentum and job growth sputtered.

And never mind that the recession is supposed to have been over since June of 2009.

Most investors didn’t have the chance to deliver a verdict on the report. The stock market was closed for Good Friday. Bond markets closed early.

Which is why all the news over the weekend has been so relentlessly rosy. Our news media hope to drive the stock market up.

The job market had been on a recent roll. From December through February, the country added 734,000 jobs, an average of 245,000 each month. The only three-month stretch that was better since the recession ended was March through May 2010, when the government was hiring tens of thousands of temporary workers for the census…

Maybe if they repeat this often enough they will even come to believe it themselves.

This article was posted by Steve on Monday, April 9th, 2012. Comments are currently closed.

One Response to “AP: Job Market Takes Break After Hiring Binge”

  1. mr_bill says:

    This has happened each year since nerobama has been president. The hiring numbers magically increase for the first quarter and promptly give up their gains in the summer months. It is a result of their seasonal adjustment formula. They are simply reporting seasonal jobs and then they act surprised when the “hiring trend” does not continue.

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