Some good news for everyone out there looking for a job: unemployment fell to a two-year low in March, down to 8.8%.

While an 8.8% percent unemployment rate is still nothing to celebrate, it is a clear indication that we are headed in the right direction. Companies hired new employees at the fastest two-month pace since before the recession began.

Continue reading Unemployment Rate Falls to Two-Year Low

Unemployment Rate Falls to Two-Year Low originally appeared on BloggingStocks on Fri, 01 Apr 2011 11:20:00 EST. Please see our terms for use of feeds.

According to the ADP Employer Services Report, the private sector added 201,000 new jobs in March, basically in-line with 203,000 new jobs that analysts had been expecting to see.

February's figures were revised downwards to 208,000 from a previously estimated 216,000 new jobs.

March's employment gains bring the four-month average of new jobs to 211,000, more than enough to keep the labor track on path. Analysts estimate that the economy needs to add 125,000 new jobs each month in order to keep up with population growth, so any jobs over that figure result in a lower unemployment figures.

Continue reading Labor Market Continues to Show Signs of Improvement

Labor Market Continues to Show Signs of Improvement originally appeared on BloggingStocks on Wed, 30 Mar 2011 12:30:00 EST. Please see our terms for use of feeds.

This past week's data point of significance for investors has to be the February nonfarm payroll report by the U.S. Department of Labor, which indicated that the U.S. economy created 192,000 jobs last month -- roughly in-line with the consensus estimate.

The good news was complemented by the fact that January's job gain was revised up to 63,000 from 36,000 and December's to 152,000 from 121,000. January's low job tally was probably skewed lower by the winter blizzards and storms that hit the Northeast and Midwest; hence, it's safe to say that the economy is creating jobs. What it needs now is sustained demand to drive GDP growth, which will lead to stronger job growth.

Continue reading Ray of Light: U.S. Private Sector Hiring Increases

Ray of Light: U.S. Private Sector Hiring Increases originally appeared on BloggingStocks on Sat, 05 Mar 2011 15:10:00 EST. Please see our terms for use of feeds.

Most of us did not expect a sharp turnaround on the employment front in February. For the better part of two years, we've had painfully slow growth in employment. Then, in February, with many people snowed in for most of the time, things changed dramatically: Nonfarm payrolls increased by a whopping 192,000 and the unemployment rate dropped to 8.9%, as reported in Reuters.

The numbers were impressive. Private sector jobs increased to 222,000, up from 68,000 in January. Private service sector jobs increased to 152,000 from 33,000 in January. Government employment fell by 30,000. The average work week was steady. Hourly earnings rose one penny.

Continue reading Big Surprise! Payrolls Jump By 192,000 as Unemployment Rate Drops

Big Surprise! Payrolls Jump By 192,000 as Unemployment Rate Drops originally appeared on BloggingStocks on Fri, 04 Mar 2011 09:40:00 EST. Please see our terms for use of feeds.

Is the glass half full of half empty? This is a perennial debate.

Those who are bearish say the market has gone too far to the upside; investors are shrugging off the latest debt scare in Europe; we have rising global interest rates; there's a potential meltdown in the municipal bond market; earnings may disappoint; the VIX is too low; and on and on we go.

For the bulls, the S&P 500 has traded above its 50-day moving average for 94 consecutive sessions, according to Birinyi Associates. This is the first time this has happened in five years. Many analysts consider stock valuations to be at relatively low levels. The glass for them is still half full.

Continue reading Are You a Stock Market Bull or Bear?

Are You a Stock Market Bull or Bear? originally appeared on BloggingStocks on Tue, 18 Jan 2011 10:00:00 EST. Please see our terms for use of feeds.

Continue reading U.S. Stock Futures Down, All Eyes on Payroll Data

U.S. Stock Futures Down, All Eyes on Payroll Data originally appeared on BloggingStocks on Fri, 07 Jan 2011 08:00:00 EST. Please see our terms for use of feeds.

The Labor Department reported Thursday that jobless benefits dropped 34,000 to a seasonally adjusted 388,000 in the past week. Economists expected a smaller drop to 413,000 claims. Not only was the drop larger than expected, but it was also the lowest level since July 2008.

The four-week average of new claims, which helps smooth out data, fell by 12,500 to 414,000 -- also the lowest level since July 2008. In the week ending December 18, the number of people continuing to receive state unemployment benefits increased 57,000 to 4.13 million. The four-week average of these same claims dropped 37,50 to 4.12 million, the lowest level since November 2008.

Continue reading Jobless Claims Fall to 388,000

Jobless Claims Fall to 388,000 originally appeared on BloggingStocks on Thu, 30 Dec 2010 10:00:00 EST. Please see our terms for use of feeds.

The S&P 500 is now at a two-year high, closing last week at 1,240.40. The index last hit that level in September 2008.

Some analysts believe that the market trades ahead of what it sees in the economy six months out. If that's true, Wall Street expects improved employment, a moderately rising GDP, and early signs of a real estate recovery.

Continue reading Stocks at Two-Year High: What Lies Ahead?

Stocks at Two-Year High: What Lies Ahead? originally appeared on BloggingStocks on Mon, 13 Dec 2010 10:00:00 EST. Please see our terms for use of feeds.

Australia's economy added 54,600 jobs in October. What, you ask, does that have to do with U.S. investing?

Well, adjusting for Australia's population, November's job growth down under is the equivalent of a 728,000 monthly job gain in the United States -- in other words, a Roaring 90s-level monthly job growth performance.

Continue reading Australia's Job Boom Continues -- Is the U.S. Next?

Australia's Job Boom Continues -- Is the U.S. Next? originally appeared on BloggingStocks on Thu, 09 Dec 2010 17:30:00 EST. Please see our terms for use of feeds.

The Labor Department issued its Jobs Openings and Labor Turnover Survey (JOLTS) today, as reported by CNBC.com. Here are some available stats:

• Business and government advertised 3.4 million jobs at the end of October, up 12% from the previous month.
• The number of available jobs increased by about 1 million or 44% since July 2009. This was well below the 4.4 million advertised in December 2007.
• There were on average 4.4 workers for each available job in October, down slightly from the 4.9 the previous month.
• In 2007 the number stood at 1.8 workers for each available job.

Continue reading Job Openings Climb to a Two-Year High

Job Openings Climb to a Two-Year High originally appeared on BloggingStocks on Tue, 07 Dec 2010 15:30:00 EST. Please see our terms for use of feeds.

Federal Reserve Chairman Ben Bernanke will appear on 60 Minutes this Sunday to defend his controversial stimulus package, dubbed QE2, of buying $600 billion of Treasury securities.

In the CBS interview, Bernanke explains his intentions with QE2 and defends the notion that this stimulus will not lead to inflation. He also told CBS that he is not ruling out the purchase of more securities.

Continue reading Bernanke on 60 Minutes: We Could Have QE3

Bernanke on 60 Minutes: We Could Have QE3 originally appeared on BloggingStocks on Sat, 04 Dec 2010 12:40:00 EST. Please see our terms for use of feeds.

This morning, my colleague Connie Madon reported that initial jobless claims showed a disappointing gain of just 39,000 jobs and an unemployment rate at a seven-month high of 9.8%. Remember that the Street expected job growth of 144,000. This disappointing data has helped push the Dow Jones as we head through the lunch hour. I wanted to take a look at a couple tidbits of news from the report, one that I find especially disturbing.

Continue reading Unemployment Data Is Disturbing, Underemployment Numbers Are Staggering

Unemployment Data Is Disturbing, Underemployment Numbers Are Staggering originally appeared on BloggingStocks on Fri, 03 Dec 2010 16:00:00 EST. Please see our terms for use of feeds.

Continue reading Jobs Report Falls Short, Pushing Stocks Lower

Jobs Report Falls Short, Pushing Stocks Lower originally appeared on BloggingStocks on Fri, 03 Dec 2010 10:20:00 EST. Please see our terms for use of feeds.

In a breakthrough on the jobs front, the U.S. added 93,000 private sector jobs from October to November, according to the latest ADP National Employment Report released today. The previous month's report was revised upward to 82,000 from 43,000.

November's gain was the largest private sector rise in three years. It is also the tenth month in which job growth has exceeded 47,000.

By sectors, gains were as follows:

Continue reading U.S. Adds 93,000 Private Sector Jobs in November

U.S. Adds 93,000 Private Sector Jobs in November originally appeared on BloggingStocks on Wed, 01 Dec 2010 09:20:00 EST. Please see our terms for use of feeds.

Will home prices keep falling? The answer is yes. But why this is happening? The reason lies in high unemployment and the increased number of foreclosures.

Here are some analysts' views on the market, as reported by CNNMoney:

• Fiserv, a market analytics company, had forecast price gains of 4% in February. Their latest prediction is for a 7.1% drop in prices.

Continue reading Will Home Prices Keep Falling?

Will Home Prices Keep Falling? originally appeared on BloggingStocks on Mon, 01 Nov 2010 13:00:00 EST. Please see our terms for use of feeds.

The Labor Department reported this morning that the nation's payrolls contracted by a net total of 95,000 in September. The latest rounds of layoffs from the government trumped what hiring was done in the private sector, leading to the rather nasty number.

According to the Labor Department, local governments jettisoned 76,000 jobs last month -- most of them in education. This cut was the largest by local governments in 28 years. Also, 77,000 temporary census jobs ended in September. Offsetting these two figures somewhat was the private sector, which added 64,000 last month.

Continue reading Economy Loses 95,000 Jobs but Markets Open Higher

Economy Loses 95,000 Jobs but Markets Open Higher originally appeared on BloggingStocks on Fri, 08 Oct 2010 09:40:00 EST. Please see our terms for use of feeds.

Stock futures inched higher ahead of the opening bell after the Labor Department reported weekly dropped by 11,000 last week to 445,000. While this was better than expectations that called for a slight increase, the total amount of claims are still hovering at a reading that doesn't indicate significant hiring or firing is taking place.

The four-week average of new claims fell by 3,000 to 455,750. The four-week claim is considered less volatile than the weekly data. Continuing jobless claims also dropped 48,000 to 4.46 million. Continuing jobless claims are workers who continue to receive regular weekly benefits. This data follows Wednesday's ADP data that indicated private employers cut jobs last month.

Continue reading Initial Jobless Claims Fall Slightly

Initial Jobless Claims Fall Slightly originally appeared on BloggingStocks on Thu, 07 Oct 2010 10:00:00 EST. Please see our terms for use of feeds.

Automatic Data Processing's (ADP) September private sector employment report -- which came in at a worse-than-expected loss of 39,000 jobs -- is not a data point that investors should ignore. That said, investors need to retain a proper perspective regarding the metric.

Institutional investors, public policy makers, and economists monitor the ADP report primarily because it's the last, monthly, national job tally before the U.S. Department of Labor's monthly, non-farm, payroll report -- the nation's best and most comprehensive survey of labor market conditions, called the Employment Situation.

Continue reading ADP's Private Employment Report: Useful for Investors?

ADP's Private Employment Report: Useful for Investors? originally appeared on BloggingStocks on Wed, 06 Oct 2010 18:00:00 EST. Please see our terms for use of feeds.

According to the ADP National Employment Report, US businesses cut 39,000 jobs in September, as reported in the Financial Times.

We've heard for weeks that the economy was slowing. Now for the first time in eight months, U.S. businesses shed jobs. Jobs in the private sector are the backbone of economic growth. This is where new jobs are created. Businesses are holding pat, not risking new hires. What this means is that at the business to business level, there simply are not that many new orders.

Continue reading U.S. Private Sector Cuts 39,000 Jobs

U.S. Private Sector Cuts 39,000 Jobs originally appeared on BloggingStocks on Wed, 06 Oct 2010 16:00:00 EST. Please see our terms for use of feeds.

Favorable economic data pushed stocks near a 100-point gain Tuesday morning. One of the positive reports came from the Institute for Supply Management (ISM), which noted that its service-sector index increased to 53.2 during September. This reading easily outpaced August's reading of 51.5 and handily trumped the Street's estimate for a reading of 52.0.

This reading is good because any readings above 50 signal growth in the service sector. This sector is considered the area where the most jobs are created; ergo, growth in this sector suggests that there will be more hiring on the horizon. On a yearly basis, the index shows that service companies have expanded every month this year.

Continue reading Service Sector Growth Increases, Stocks Rally

Service Sector Growth Increases, Stocks Rally originally appeared on BloggingStocks on Tue, 05 Oct 2010 12:30:00 EST. Please see our terms for use of feeds.