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Jobless Claims Down, 2Q GDP Revised Down

From a giddy Associated Press:

US unemployment aid applications at 2-month low

By CHRISTOPHER S. RUGABER | Thurs September 27, 2012

WASHINGTON (AP) — The number of Americans seeking unemployment benefits plunged 26,000 last week to a seasonally adjusted 359,000, a hopeful sign for the job market. It’s the lowest level of weekly applications in nine weeks…

Weekly unemployment applications are a measure of the pace of layoffs. When they consistently fall below 375,000, it typically indicates that hiring is strong enough to lower the unemployment rate…

What a coincidence. This week’s number is below the magical 375,000 cut off.

By the way, for those keeping track, last week’s number was revised up 3,000 from 382,000 to 385,000. Which means that the new claims number has now been revised up for 35 weeks in a row and 81 of the last 82 weeks.

Other recent data have shown that layoffs have fallen to the lowest level in a decade…

It’s like when you are going bald. After a while there just isn’t any more hair to lose.

Speaking of revisions, we also have this news from the Associated Press:

US economy grew 1.3 percent in second quarter

By MARTIN CRUTSINGER | Thurs September 27, 2012

WASHINGTON (AP) — The U.S. economy grew at an even more sluggish pace in the April-June quarter than previously believed as farm production in the Midwest was reduced by a severe drought.

The overall economy grew at an annual rate of 1.3 percent in the spring, down from its previous estimate of 1.7 percent growth, the Commerce Department said Thursday…

This is the Obama ‘recovery.’

A weak economy and high unemployment could hurt President Barack Obama’s re-election chances and bolster Republican nominee Mitt Romney’s campaign…

Which is why you won’t be hearing much about this revision.

And, wait. There’s more, from Reuters:

Durable goods drop worst since recession

By Lucia Mutikani | Thurs September 27, 2012

WASHINGTON (Reuters) – New orders for long-lasting U.S. manufactured goods in August fell by the most in 3-1/2 years, pointing to a sharp slowdown in factory activity even as a gauge of planned business spending rebounded.

The Commerce Department said on Thursday durable goods orders dived 13.2 percent, the largest drop since January 2009, when the economy was in the throes of a recession. Orders for July were revised down to show a 3.3 percent increase instead of the previously reported 4.1 percent gain…

Manufacturing, which has been the main driver of the recovery from the 2007-09 recession, has been hit by turbulence from sluggish domestic and global demand.

We prefer "headwinds" to "turbulence."

Fears that the U.S. Congress could fail to avert a "fiscal cliff" — the $500 billion or so in expiring tax cuts and government spending reductions set to take hold in 2013 — have also left businesses with little incentive to boost production.

Reuters buried this inconvenient truth at the very bottom of their longish article.

This article was posted by Steve Gilbert on Thursday, September 27th, 2012. Comments are currently closed.

4 Responses to “Jobless Claims Down, 2Q GDP Revised Down”

  1. Reality Bytes

    It’s called the Obama Quick Step: One step forward, Two steps back. He did it on Ellen too!

  2. ilzito guacamolito

    ~ The Commerce Department said on Thursday durable goods orders dived 13.2 percent, the largest drop since January 2009, when the economy was in the throes of a recession. ~

    If this is the case, what are we in the throes of now?

    • We’re in the throes of a liberal recovery. To anyone with 3 brain cells to rub together, it would be called a depression, but I don’t think any libs have more than 2.

      Line up now, cuz we all be needin’ Obama phones…

  3. postal67

    ODD? I was at the Labor site two days ago and it said that wages were down -.01% while prices were up 6.0%

    I guess we have more democrops working the Job Section of the Government and they know who pays their wages….




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