Unemployment rates have been very high the past several years. People can’t seem to find jobs in this economy. There was some hope to be seen though. Claims for unemployment benefits had a significant drop that was unexpected last week.
In the previous week, the Labor department showed 366,000 claims for unemployment benefits. This past week that number has dropped down to 344,000. It was estimated that it would be around 360,000 so this is a pretty big, unexpected spike.
The average for the past four weeks of unemployment benefits has been 355,000, which is less than the previous four weeks. Are we seeing a rise in the economy? Overall the unemployment claims are down 3% from a year ago. Even though the numbers are decreasing and you think it’s turning the economy around it isn’t.
There are about 180,000 jobs that are added each month. I know it seems like a big number. The fact is that number barely keeps up with the population growth. Since it doesn’t keep up with the population growth, the unemployment rates do not change.