Initial Jobless Claims Crash To Lowest Since 1973

Tyler Durden's picture

So much for the hurricane distortions of the US labor market...

Just a few short weeks after initial unemployment claims jumped in the aftermath of Hurricanes Harvey and Irma, in the latest week the DOL reported that filings for unemployment benefits tumbled to the lowest level in 45 years, or since 1973, as all those workers who were unable to work due to the two hurricanes, returned to their jobs.

The initial claims print for the latest week - which however included Columbus Day and thus could have been seasinally distorted - was 222K, below the 240K expected, and down 22K from the 244K last week. The less volatilte 4-week initial claims average alsod dropped to 248,250 from 257,750, Meanwhile, continuing claims fell by 16K to 1.89M in the week ended October 7.

As Bloomberg notes, "the larger-than-projected decrease in claims probably reflected difficulty adjusting for the Columbus Day holiday. At the same time, the report showed further declines in claims in hurricane- affected states. The storms initially led to a spike in applications in Texas and the southeastern U.S. in late August and early September."

According to the DOL, the unemployment rate among people eligible for benefits fell to 1.3% from 1.4%. The Dept of Labor also announced that application slumped in the hard hit states of Florida, Texas, and Georgia. Of note, the DOL said that claims were estimated only for the Virgin Islands last week.

Finally, and perhaps most notably, the latest period includes the reporting week that the Labor Department surveys for its October employment figures.

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GunnerySgtHartman's picture

Indeed, total bullsh*t.  If it wasn't, there'd be upward pressure on wages.

spastic_colon's picture

yes but they needed to give janet a nice sendoff

overbet's picture

stop, just stop with the lies. nobody believes your phony data

StackShinyStuff's picture

No one wants to buy your drugs here Louis

BLOTTO's picture

'Work' - it ruins your life on this planet.
Off to work...

2_legs_bahhhhhd's picture

One day soon, they will tell us on a Friday afternoon, employment numbers will crash 85%, then on Monday morning employment will be up 85.5%. The markets will open every Monday down 5000 points, running all the stops premarket, then rocket 6000 points the rest of the day on btfd.

By then, the sheep won't even bother looking up from their feed bucket. Today we go all in on black 19. Woooohoooo

AGuy's picture

"The markets will open every Monday down 5000 points, running all the stops premarket, then rocket 6000 points the rest of the day on btfd."

I doubt we will see a major crash again. CB's will double down and BTFD. They know that that the global economy is a frayed rope, ready to plunge into another world wide depression. I think they will do anything to prop it up.

Five Star's picture

On average there is less than 4 months from the low in unemployment to the formal declaration of recession:

Ignatius's picture

The results are in:  break more windows!

Kidbuck's picture

No upward pressure if you import enough illegals and H1bs and move the jobs to China and India.

Kidbuck's picture

Can't claim unemployment if you haven't had a job in years, are on SSI, the dole, in prison or jail, are sucking up student loans full time, are too drunk or high to make it to the unemployment office, have only held under the table cash jobs. I'm sure to be forgetting a few catagories.

J bones's picture

Just because one is not claiming to be jobless doesn’t make them employed.

Byrond's picture

And that's a beautiful thing for politicians.

Bay of Pigs's picture

Except for them ignoring two facts.

1. Labor Participation Rate
2. Food Stamp Recipients

Iconoclast421's picture

Collect welfare. Get paid. And best of all, avoid being counted as part of the unemployed.

2ndamendment's picture

This seems to fly in the face of the "statistics" above:

Vuke's picture

Those 95 million "not in the labor force" are doing what ?  ? ?

Giant Meteor's picture

Opiates by the telling of things  ..

JMT's picture

So exactly where are people getting the money to buy opiates if they aren't working a full time job that offers full health benefits??? Obamacare policies are very limited what they will cover, most do not cover prescription drugs or impose very strict limits  in that type of coverage. 

gaoptimize's picture

I ran into some difficulty on an X-Box "Destiny" (available for $10 with Destiny 2 out) quest and sought help in YouTube videos.  Based on the number of videos, I think a partial answer to your question is that many are sitting around playing video games on their sofas and posting videos of it to YouTube.

JMT's picture

where can you find any Xbox game for $10?? Even atari 2600 games cost more than that in the early 1980s.  games cost $59 & $69 plus all the 'accesories' you need in addition to the console means that the 'initial upfront' cost of an XBOX One with 1TB of hard drive space can easily cost $1000, of course here in the Boston area everyone seems to have the lastest Macbook pro as well (the one with the Grey NOT the White apple symbol) in the middle.  I myself spent $1250 on a new 12 inch 'macbook' (not the pro) that is like a 'base' version but it has the Grey symbol in front

but my point is that millenials must be spending an obscene (meaning over $5,000 a year) amount of money on 'gaming', 'social media' and technology 

Xena fobe's picture

Working for cash while collecting benefits. 

Justin Case's picture

Those 95 million are living the life off the socialist Gov't

Falconsixone's picture

That's not bad, only 95,000,000. Should be able to put something together when the time comes to start a country..

Paul Kersey's picture

The numbers just go to prove that there is no shortage of part-time jobs in the US of A.

Justin Case's picture

Should be able to put something together when the time comes to start a country..

Just take back the one you lost to the swamp lizards.

rejected's picture
Series Id:           LNS15000000
Seasonally Adjusted
Series title:        (Seas) Not in Labor Force
Labor force status:  Not in labor force
Type of data:        Number in thousands

Age:                 16 years and over

95 million not in work force.

16 -18 years is kind of young and it would be likely they would not be working. I would estimate at 25-30 million.
19-24 many still in school getting their useless degrees. I would estimate 10-15 million.

So approximatly 35-40 million would normally not be working which leaves about 55 million adults not in work force.

Then for the disabled,,, say about 10 million which would bring it down to about 45 million.

Then say another 15-20 million 65+ not working which would leave about 25 million not in work force or about 8%.
Falconsixone's picture

So that's the last of them.....good

Now we can take a vacation.

BigWillyStyle887's picture

The economy is so fucking strong now a days, the job market is gangbusters! Its practically impossible to find someone that is unemployed in these golden years.

Byrond's picture

All the Uber drivers are gainfully employed and will have great retirements. Same goes for all the Amazon warehouse workers and green card holders. AND The baby boomers get social security, so they claim unemployment too. And all those seasonal big box workers. They'll claim unemployment the second they get the pink slip. NOT NOT NOT NOT NOT and NOT. Lots of snot.

Seasmoke's picture

Stick save.  And a beauty !!!!

Aireannpure's picture

The market is comfortably numb. Opiod wall street. NOW I understand the real reason for the low volitility.

wmbz's picture

"the larger-than-projected decrease in claims probably reflected difficulty adjusting for the Columbus Day holiday".

Good lord, who writes this stupid shit.


TheytookERjobs's picture

Finally some good news

Giant Meteor's picture

Love good sarcasm , well done !

By the way, with just a bit more statistical fuckery, they should be able to get this puppy down to zero in no time!


historian40's picture

Did they use Al Gore's hockey stick to make the graph?

Megaton Jim's picture

Didn't Al Gore invent hockey sticks?!?

Byrond's picture

And if the true unemployment rate of 9% (not underemployed, which is rampant, but the actual unemployment rate) was publicized, the elite would lose trillions during a 30 minute lunch break. Motivation? Hell yes. 

Byrond's picture

Uniqueness and abbertions in statistics mean only one thing. Something is wrong. The numbers are wrong, or the methods are wrong, or someone is lying (that's wrong) or something is just wrong. 

Giant Meteor's picture

I'm going with D: All the above

Hume's picture

The comments on  here would be funny, if they weren't so tired.  Yes, no doubt we're still in depression.  I know we all come here for doom porn - but let's not be delusional.

Giant Meteor's picture

Belief in government statistics?  Delusion is not an option, it's a requirement!

Kidbuck's picture

I've been tired of the stats for 40 years. 20 years ago, the ASE, the trade organization that certifies automotive mechanics in this country, admitted they gave more tests in Spanish than in English. I could easily compete with Mexicans on the quality of my work. I had no desire to compete with them on the price of their labor. I know carpenters and many other blue collar professionals that felt the same way.

Hume's picture

Well, I hope your situation improves, but maybe you and your friends should consider another part of the country.  Cuz here in SoFla - they are paying top dollar for just about every blue collar job.

Bay of Pigs's picture

Top dollar? LOL.

Care to provide some actual proof of that or just talk out of your ass Mr. 18 week ZH newbie?

Hume's picture

Been on site for six years, thanks.  Not my fault ZH changed there login policy so I couldn't post under my real name 6 months ago. 

What kind of proof do you want?  They are so desparate for pipe fitters here, they,re putting up billboards on construction sites.

rejected's picture

What are you calling Top Dollar?  $10, 20, 30?

For what type Blue Collar worker? Carpentry, Picking Oranges?  Lawn Mowing?