Solid April jobs report shows economy gaining momentum

[Kurmudgeon]

Source: msnbc.msn.com

The U.S. economy added a stronger-than-expected 244,000 jobs in April, the Labor Department said Friday, as employers continued the solid pace of job creation seen in the prior two months.

The number of jobs created last month was well above the 185,000 new jobs that analysts had predicted, the government reported. Private employers added 268,000 jobs — the most since February 2006.

April marked the third straight month in which more than 200,000 jobs were created, the best three month hiring spree in five years. Job gains in March and February were even stronger than first reported.

Read more: http://www.msnbc.msn.com/id/42928024/ns/business-stocks_and_economy/

---

Strangely, when I posted this elsewhere, it gave the title of "Gas prices could slow job growth this year"

Something is wrong when a site puts a sour title on good news. Be advised, there may be shenanigans going on at msnbc.

[bluesbassman]

1. McDonald's hired 62,000 (out of 1,000,000 applicants)

So, if you take away those there were only 182,000, 3,000 less than the analysts predicted. Not to say that those 62,000 people aren't happy to be employed, but I'm not going to peg economic recovery hopes on burger flipping jobs.

[bluestateguy]

2. This has aready been debunked

The McDonalds jobs will appear on the May jobs report, but they were not hired in time to show up in the April numbers.

And the link: http://blogs.wsj.com/marketbeat/2011/05/06/big-april-jobs-report-it-wasnt-the-mcdonalds-hiring-binge/

[bluesbassman]

4. Thanks for the clarification, I assumed they were in the April numbers.

Do you happen to know why they weren't reported for April?

[plumbob]

3. Overall rate still went up, so this is insufficient.

When 100,000 Texas teachers and 10,000 Texas state employees hit the unemployment line in June, watch those numbers.

[defendandprotect]

8. Many still being laid off -- and new trade agreements with Korea and Colombia by Obama!!

Unemployment claims just went up --

Haven't heard anything on what the numbers are when long term unemployed are

included -- last I heard a while back 17% --

but evidently many are having problems getting thru to unemployment offices to

claim benefits -- all mainly done by internet and phone now.

Unemployment agencies are under staffed and under equipped -- too few employees,

to few phone lines -- and aging computers.

[eridani]

5. Yes, the momentum to be on track for ZERO net job growth from 2000-2015 n/y

[Possumpoint]

6. Tends To Ignore

This past week's increase in initial jobless claims of 43,000 to 474,000. That combined with inflation caused by increased oil prices is rather worrisome.

[Tarheel_Dem]

7. The "past week" was May. Was it not? These numbers are for April. (nt)

[ixion]

9. more happy talk denial

the longer we pretend the problem doesn't exist, the worse it will be when we finally have to deal with it.

[Yo_Mama]

10. I think this report will be revised down sharply

There are two surveys done each month for the employment report.

The establishment survey showed +244,000 jobs.

The household survey showed -190,000 jobs.

I strongly expect that we lost jobs in April - that would be consistent with the very significant rise in initial claims, with the drop in gas consumption, and with the NFIB report on small businesses, which showed more small businesses cutting employment than adding.

The establishment survey gets heavily revised for years, and is mostly used for economic research because in retrospect it is more accurate than the household survey. But it is heavily dependent on imputations, and it doesn't work that well in times of sudden change. The imputations are done from data gathered in the Business Employment Dynamics survey, which is always quarters behind.
http://www.bls.gov/bdm/

We are experiencing a sudden negative change. I regret to say that I think the establishment number in April is very wrong and will be revised mostly away a year from now! The net birth/death adjustment for April was +175,000:
http://www.bls.gov/web/empsit/cesbd.htm

There is no way the economy is gaining pace. I'd say it is weakening rapidly, although not contracting yet.