Stocks jump as jobs, productivity data boost mood

[TomCADem]

Source: Associated Press

NEW YORK (AP) -- Encouraging news on jobs and worker productivity gave investors new reason to be optimistic about the economy and pushed stocks to big gains.

The Dow Jones industrial average jumped 150 points Thursday, while the Nasdaq composite index, which has a concentration of technology stocks, gained about 2 percent after an upbeat forecast from Cisco Systems Inc.

The Labor Department said the number of newly laid-off workers seeking unemployment benefits fell to 512,000 last week, the lowest level since January and fewer than economists had forecast.

Initial claims are considered a gauge of the pace of layoffs and an indication of employers' willingness to hire workers. The report offered investors hope that the government's monthly report on employment Friday might prove better than expected. Analysts project that the unemployment rate rose to 9.9 percent in October.

Read more: http://finance.yahoo.com/news/Stocks-jump-as-jobs-apf-2478931776.html?x=0&sec=topStories&pos=main&asset=&ccode=

[Extend a Hand]

1. less terrible than expected numbers

and increasing productivity is still bad news. (Especially if you're looking for a job).

[xchrom]

2. stop the stupid h-1b visas and the claims will fall more. nt

[Dr.Phool]

3. Work the peasants longer for less money.

Bingo! More productivity.

[dysfunctional press]

10. and tell them what a good thing that is too.

maybe not so much for them- but they don't need to know that.

[TheWatcher]

4. People need to Stop Beleiving in the Propaganda and treat themselves to a dose of reality

Here, this might help:

http://wallstreetbear.com/board/view.php?topic=62896&post=209994

And from Karl Denninger


The unemployment claim release looked good. Here's the headline:

In the week ending Oct. 31, the advance figure for seasonally adjusted initial claims was 512,000, a decrease of 20,000 from the previous week's revised figure of 532,000.

Sounds good, right? So does this:

The advance number for seasonally adjusted insured unemployment during the week ending Oct. 24 was 5,749,000, a decrease of 68,000 from the preceding week's revised level of 5,817,000.

Now let's talk truth:

The advance number of actual initial claims under state programs, unadjusted, totaled 480,178 in the week ending Oct. 31, a decrease of 14,216 from the previous week. There were 466,341 initial claims in the comparable week in 2008.

The rate of firing is higher than it was this week last year - a really, really bad time, if you remember. This was immediately post-Lehman and AIG, when firms were shedding employees like water off a duck's back.

So why the disconnect?

States reported 3,459,148 persons claiming EUC (Emergency Unemployment Compensation) benefits for the week ending Oct. 17, an increase of 90,239 from the prior week.

68,000 people came off the rolls and found jobs, right?

Wrong.

90,239 fell off the government's "official statistics" and rolled into "extended programs." That means that net-on-net the picture got worse by 22,239.

It gets even better than this, however, as we are now far enough into the mess that people are rolling off even the extended benefit programs in many states! There is no current tabulation of that count, but any number greater than zero simply adds to the malaise.

The bottom line:

*
Unemployment continues to get worse, not better. The "official" numbers used for the headline don't count you once you "roll off" the original unemployment program - "extended benefits" and those who have rolled off even the extended programs are not counted as "continuing claims."

*
More people were fired the last week of October this year than were fired the last week of October last year, and last year was directly in the blast zone from Lehman and AIG.

You want to cheer these numbers?

The market might, but Main Street, where most of us live (myself included) has a somewhat different view.

http://market-ticker.denninger.net/

I know it's far easier just to believe what the TV says, but Wall Street CONTINUES to Party over the destruction of the Working Class, while telling that same Working Class that things are all better, and that no problems ever existed in the first place.

This country needs to WAKE UP.

[dreamnightwind]

6. Thanks for this info

I wouldn't have seen it otherwise.

[TheWatcher]

9. You are Welcome, and I know you probably wouldn't have.

I think what's so frustrating is that all this info is out there for everyone to see, but it remains pretty well hidden in plain sight underneath all the noise, pomp, and sounbytes of the Propaganda Matrix.

The Mainstream Media and the Government know this, and so they make sure they drown everything out with massive Propaganda campaigns carried out through the resources people typically turn to the most.

[TomCADem]

11. Unemployment Is A Lagging Indicator, Not Leading

The financial markets were still in melt down in October, but the carnage had not hit yet. Afterall, the retail sales slowdown would not really hit into the Holiday sales season kicked in. If unemployment were a leading indicator, where people are laid off first while business is booming, then the author of that article would have a better argument.

[TheWatcher]

12. This tired Meme really is laughable at this point.

In an Economy that is based on DEBT and CONSUMPTION, employment IS a leading indicator.

But by all means, return thee to the CNBC fantasy world of dancing girls and Dow 10K, where Geithner is a God and Benranke is a Sage, and The Bankers are the Keepers of Truth and Honesty.

You Either get it or you don't.

READ THE POST AGAIN and maybe it will become clear to you.

If it doesn't I can't help you.

[Odin2005]

16. LOL! What nonsense.

"In an Economy that is based on DEBT and CONSUMPTION, employment IS a leading indicator."

I have a friend who has a master's degree in Economics and I asked him about it when I first saw this claim on DU and he told me it's complete crap. I'll trust the guy with an Economics degree over some anonymous poster on the internet. And before you go off about "neo-liberal propaganda", this friend is a Keynesian liberal.

[No Elephants]

13. Sorry, but carnage had hit before last October, although it had not peaked. You

have to look at sectors. In fact, I believe Congress had already extended unemployment benefits before last October, maybe more than once.

[the other one]

5. Is CNBC going to air another DOW 10,000!!! special?

?

[rocktivity]

7. My mood is boosted because I just got a real job

For over a year, I've been one of those underemployed types, making $10/hr BEFORE being cut back to part-time. I'll be making nearly twice that now, but I have no illusions as to why I got the job. With so many good people out of work and so few good jobs to choose from, employers have the luxury of holding out for the EXACT employee they want--and I mean right down to the cross on the the "t".

My very first job interview question was about how I would commute to the office. While my skills and experience made for a perfect fit, I honestly believe that what gave me the edge was the fact that I would be relying on public transportation and not bringing a car into a parking-challenged area!

:bounce:
rocktivity

[No Elephants]

14. Congratulations. I hope you enjoy it and I hope it lasts as long as you want it to last.

Best wishes.

[rocktivity]

15. Thanks. And did I mention that

I saw Obama speak in Newark NJ the Sunday before the interview? The man truly does have messianic tendencies!

:rofl:
rocktivity

[ShortnFiery]

8. bullshit. eom

[Javaman]

17. with a 10.2 unemployment rate, I guess those who crack the whip...

are getting more out of their workers.

This is good?