Initial Jobless Claims Plunge to Jan 2006 Lows, Government Warns Of "Seasonal Volatility"

Tyler Durden's picture

So much for the idea of 'slack' in the economy, initial jobless claims just plunged 19k week-over-week to 284k (vs 307k expected) - the lowest since Jan 2006 (which was the lowest print since May 2000). This is the biggest beat of expectations in over 2 years. Continuing claims fell modestly. Let's not go popping the champagne corks of full recovery quite yet as non-seaonally-adjusted claims collapsed by their most in 6 months as the government saw fit to warn data-consumers that "claims are often very volatile this time of year," as auto shutdowns can cause claims to fluctuate. In other words, ignore this noise.

 

 

Great news... except...

  • *LABOR SAYS AUTO SHUTDOWNS CAN CAUSE CLAIMS TO FLUCTUATE
  • *LABOR SAYS CLAIMS ARE OFTEN VERY VOLATILE AT THIS TIME OF YEAR
  • *U.S. TOTAL BENEFIT ROLLS DECREASE BY 8,000 TO 2.5 MILLION

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junction's picture

OT: The reason why the SEC did not drag Apple's Steve Jobs into its criminal investigation of illegal backdating of stock options in 2006 now seems to be because Steve Jobs was working for the NSA in putting "backdoors" into Apple's products.  Back then, the SEC was criminally charging companies for backdating stock options given to top executives. 

 One count showed that 38 top executives at 19 high tech companies lost their jobs for being involved with backdating stock options.  Dr. William McGuire, the former CEO of UnitedHealth Group, to settle his backdating complaint and to avoid being criminally charged, had to pay $468 million in civil fines and restitution to the company.

Apple corporate Secretary Nancy Heinen lost her job over her involvement in backdating options, was fined and permanently barred from working at a public company. Apple's Steve Jobs was untouched, even though he micromanaged everything at Apple and he at one point had received a block of 7.5 million backdated Apple share stock options.

--   

Apple has vociferously denied writing a surveillance backdoor into its iOS operating system, which is used on iPhones and iPads.

"As we have said before, Apple has never worked with any government agency from any country to create a backdoor in any of our products of services," Apple said in a statement.

Forensic scientist and author Jonathan Zdziarski revealed earlier this week a whole raft of backdoors, attack points and surveillance mechanisms built into iOS devices.

Speaking at the Hackers On Planet Earth (HOPE/X) conference in New York, Zdziarski basically shot down Apple's claims about security and its efforts to safeguard iOS devices from police and government snooping.

Zdziarski, better known as the hacker "NerveGas" in the iPhone development community, worked as a dev team member on many of the early iOS jailbreaks, and is the author of five iOS-related O'Reilly books including "Hacking and Securing iOS Applications."

However, Apple denied all of his claims.

Read more: http://www.itproportal.com/2014/07/24/apple-denies-riddling-ios-with-nsa...

 

Headbanger's picture

Yeah, the economy is doing so fucking great now that the Wal MArt CEO is bailing out:

http://www.cnbc.com/id/101846546

Gee... Wonder why??

twh99's picture

WTF does your comment have to do with initial claims?

Down vote 100 for being an ass.

prudent1nvestor's picture

Anyone else getting the "Nail Fungus" ads? they are worse than Kerry

ejmoosa's picture

Adblock is keeping me from seeing such treasures.....

pods's picture

I get Boca Bearing ads and Anastasia date.

Told my wife I have good news and bad news.

Good news is I am not going to be buying those bearings for my reels.

Bad news is I still spent money.  

pods

observer007's picture

Must SEE:

MH17 - VIDEO: CNN Interview with RT Anchor Explodes: Chris Cuomo vs Peter Lavelle

http://homment.com/mh17cnnrt

RiskyBidness's picture

Stocks to the Moon!!  This means we finally have a recovery!  Bwahahahahahahahahahahaha!!  BTFD!!

PlusTic's picture

These dumbfukks think this is bullish...there's no one left to fire, of course claims are going to drop!

Kreditanstalt's picture

When eventually everyone, absolutely everyone, is working minimum wage service jobs, living in basements, staying in school, selling drugs, working under the table, emigrating, retiring early, part-time working, temping, on disability, collecting welfare, "not in labour force" or genuinely unemployed, "initial claims" will be ZERO!!!!!!!!   RECOVERY ACCOMPLISHED!!!

Bosch's picture

Also, "We had to make some more shit up to cover for Crazy Ass Uncle Joey who flat lied about employers hiring at a record pace the other day." 

PartysOver's picture

Crazy Uncle Joe was somewhat correct.   Only he left out the Jobs are part ime, low paying jobs.  Spin, baby, spin.

Spungo's picture

Initial jobless claims are for initial job losses; it doesn't count long term unemployed. 

I really hope this is a sign of the economy slowly recovering. Are fewer people fired because the economy has improved or is it because there's nobody left to fire? Either way, this should be bullish for stocks. No joke.

BeetleBailey's picture

There's no one left to fire.

You'll NEVER here this in the Fuckbama-douched Lame Stream Media;

http://chasvoice.blogspot.com/2014/05/general-motors-is-becoming-china-m...

...and whomever listens to Joe Biden needs a good kick in the nuts.

The man is an asshole.

orangegeek's picture

Labor Participation Rate???  WTF is that???

nakki's picture

So everything is fixed, stop QE raise rates to a whopping 1% because if the "economic recovery" in its 6th year, is truly here surely it the US economy can handle it. Does anybody else find it ironic that a company named MarkitĀ® and its soft data can Mark it to wherever they want, because its a survey. Of course way back in the good old days (you know 2008)  the banks had Mark to Market and now they can mark it to wherever they want so I guess its all just right.

Kreditanstalt's picture

Maybe there's "no slack in the economy", as these characters like to claim...but that big earning & big spending economy is leaving more and more and more people OUT every day...

XitSam's picture

Anyone think other OSs are not similarly compromised?  Especially Android with the top 3 executives buddy buddy with Obama?

pods's picture

Android was named by Denninger the other day.

My guess is that BB10 is the tightest but I still behave around mine as if it is compromised.

The fact it is Canadian might offer a degree of separation.  

pods

ejmoosa's picture

With so many folks working multiple part time jobs these days, losing one of them just doesn't have the impact it once did.  In fact, this report is rather worthless.

 

For the 12 months ending May of 2000 we were adding jobs at a rate of 2.55% year over year.  Today that rate is 1.83% for the most recent 12 month period..  And the quality of the jobs today is far lower than those in May 2000.

 

disabledvet's picture

Oh, and "here's your tax cut hard worker!"

You think there was a problem of industry in Michigan that caused Defroit to collapse? Talk about "internal contradictions."

Taxed
To
Death.

Hindenburg...Oh Man's picture

I suspect that all this "Good news" will actually bring about a correction, albeit short. The mainstream is now going to get all paranoid about rising interest rates with all this good economic news. 

d edwards's picture

Is "seasonal volitility" just another way of blaming stuff on "the weather?"

khakuda's picture

Yes, but Druckenmiller is right.  Looking at the claims chart over time ertainly does not justify 0% interest rates at this point.  Yellen is looking for any excuse not to raise rates because she is afraid of what might happen, but it is clear she is already years behind the curve and has caused multiple bubbles as a result.

disabledvet's picture

Anything to Push Rates Higher now....ALWAYS.

I think Yellen is doing great...I think to start bringing about a full fledged tightening can wait at least another year...although clearly raising questions about the efficacy of "reverse repos" is fair game.

The USA has the biggest production boom in her history still well underway...certainly prices have been inflated in order to pay for the "New Normal"...but for a true stagflation...let alone hyperinflation ...to take hold their must be a collapse in production itself (Venezuela, Argentina) and the incentive for said production. Simply put that is not the case in the USA.

Jobs growth will follow....although it will "follow better" where the Rule of Law is held high and a sense of honor still prevails.

drchris's picture

End QE and raise interest rates above inflation.

q99x2's picture

I haven't worked in 20 years and I refuse to go back to work until Washington D.C. stops paying me.

observiate's picture

just as rush limbaugh and several others have predicted...they are fudging the numbers lower and lower going toward the november 2014 elections

starman's picture

Since 2013 the the Bureau of Labor statistics stopped tracking and reporting lay offs! 

There, fixed it for ya.

Coletrane's picture

eight more years of obama and we could have zero percent umemployment.