Unemployment Insurance

Tyler Durden's picture

Initial Claims Drop But Goldman Warns "Recent Jobless Increase Is More Than Just Noise"





Initial jobless claims dropped notably last week (from 285 to 269k) but the overall trend (away from the noise) appears in tact. The smoother4-week average remains near 12-month highs and as Goldman notes weakness is widespread - "there is only limited evidence that the rise in claims is due to distress in the energy sector." Continuing claims dropped modestly to 2.239mm but, as Goldman adds, "the persistence of the recent move suggests more might be going on, and we are treating the increase as more than just noise."

 
Tyler Durden's picture

Chinese Factory Worker Explains What "The Government Is Most Fearful Of"





At a printing factory in the western city of Chongqing, a Reuters reporter was present when a local official visited last week to make sure the boss paid his workers before the Year of the Monkey begins. The official declined to speak with Reuters, although the boss later said it was an attempt to prevent unrest"That's what the government is most fearful of," said the factory owner, who did not want to be named.

 
Tyler Durden's picture

"The Worst Case Scenario Is Already A Reality": Minnesota's Mining Country Is "Melting"





With all of the focus on oil, not much attention has been paid to the impact the commodities downturn has had on other things people pull out of the ground in North America. Courtesy of the Washington Post, we get an in-depth look at the dramatic effect slumping demand and acute overcapacity in China has had on one corner of America’s Heartland: Minnesota's "iron ridge."

 
Tyler Durden's picture

Bernie Sanders & The "Tyranny" Of Working For A Living





The dream and demand of Bernie Sanders and all of the other "democratic socialists" of all political parties is that all or at least significant parts of human life need to be micromanaged and controlled by government so people may be liberated from the "tyranny" of not having all they may want without finding effective ways of acquiring it through honest and peaceful work. The "freedom" about which Bernie Sanders speaks, and before him Franklin Roosevelt, in fact, involves a loss of liberty into an even greater degree of political paternalism.

 
Tyler Durden's picture

Why This Sucker Is Going Down... Again





So how do you grow household wealth by $18 trillion in the face of these dismal real world trends? In a word, with a printing press. But what happened today is that Draghi showed he is out of tricks and Yellen confessed she is out of excuses. Yes, this sucker is going down. And this time all the misguided economics professors turned central bankers in the world will be powerless to reverse the plunge.

 
Tyler Durden's picture

Black Market For Black Gold Ignites As Jobless Roughnecks Resort To Oil Theft





The allure of ill-gotten oil money remains strong. The lull in drilling has given oil companies more time to scrutinize their operations -- and their losses. As Bloomberg reports, during booms "they are moving at such a rapid pace there’s not a lot of auditing and inventorying going on," said Gary Painter, sheriff in Midland County, Texas, in the oil-rich Permian Basin; but "whenever it slows down, they start looking for stuff and find out it never got delivered or it got delivered and it’s gone." From raw crude sucked from wells to expensive machinery that disappears out the back door, drillers from Texas to Colorado are struggling to stop theft that has only worsened amid tens of thousands of lost roughneck jobs.

 
Tyler Durden's picture

Depression Tracker: Brazil Braces For Big Week Of Bad Data





"We expect the economy to continue to face strong headwinds from higher interest rates, exigent financing conditions, high inflation, significant labor market deterioration, higher levels of inventory in key industrial sectors, higher public tariffs and taxes, high levels of household indebtedness, weak external demand, soft commodity prices, political uncertainty, and extremely depressed consumer and business confidence."

 
Tyler Durden's picture

Destroying The "Technology Always Creates More Jobs Than It Destroys" Meme





Believers in "technology always creates more jobs than it destroys" never address the knotty issues of taxpayer subsidies, secular trends of higher labor costs, the eradication of low-skill jobs that pay enough to live on without taxpayer subsidies, or the structural surplus of conventional labor and capital--the scarcity value of both are dropping to zero. While many hope that every low-skill person can become a high-skilled worker, training people doesn't create jobs for them.

 
Tyler Durden's picture

Technology, Competition, And The 'Crapification' Of Jobs





The 'crapification' of jobs is the direct result of the 'crapification' of the economy.

 
Tyler Durden's picture

Initial Jobless Claims Hover At 42 Year Lows - So Who Is Lying?





Having hit new 42-year  lows last week, initial jobless claims once again beat expectations but rose very modestly from a revised 256k to 259k this week. This continues to diverge drastically from Challenger job cuts data, from weakening payrolls data, and from collapsing ISM survey employment indicators... so who is lying?

 
Tyler Durden's picture

Ominous Signs Of Peak Employment





The current detachment between the financial markets and the real economy continues. The Federal Reserve's continued accommodative stance continues to support asset prices despite a decline in profit margins, an increase in deflationary pressures and a weak economic backdrop. So, while jobless claims and job openings may be touted as signs of an improving job market, the data suggests that we have likely seen the peak for this current economic cycle.

 
Tyler Durden's picture

Initial Jobless Claims Plunge To 42 Year Lows, Despite Surging Job Cuts





The yawning gap between job cuts (surging most since 2009) and initial jobless claims (hovering near 42 year lows) continues to grow as initial jobless claims collapse 7k this week to 255k - the lowest since 1973. Bear in mind, Goldman's explanation that jobless claims are useless in this part of the business cycle..."this does not signal a booming labor market."

 
Tyler Durden's picture

Brazil Faces Unemployment "Crisis", As Retail Sales Plunge, Rousseff Blasts "Coup-Mongers"





As Rousseff fights to keep the Presidency, and has the speaker of the House battles to have her impeached, the country's economy continues to crumble. Retail sales came in below expectations for August and as Bloomberg reports, Brazil's top bankers now fear the combination of overindebted households and soaring unemployment could spell doom.

 
Tyler Durden's picture

Goldman Demolishes Jobless Claims Hype: "This Does Not Signal A Booming Labor Market"





As we pointed out previously, the growing convergence between BLS-reported initial jobless claims (at 42 year lows) and reported job cuts (highest since 2009) suggests someone is lying. It appears we have found the cuplrit as Goldman Sachs confirms that changes in gross labor market flows (e.g. gross hires and quits), as well as changes in the unemployment insurance benefit take up rate, affect the relationship between jobless claims and employment growth over the cycle. For this reason, today’s low level of jobless claims should probably not be taken as a sign of a booming labor market.

 
Syndicate content
Do NOT follow this link or you will be banned from the site!