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63,000 Jobs Lost in February (96,000 in private sector) |
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Friday, 07 March 2008 |
While a survey of economists had predicted moderate employment growth in February, today's unemployment numbers indicate that 63,000 American jobs were wiped out last month. The worst part is, there may be worse news. 450,000 Americans left the workforce - that is, they just stopped working and they aren't looking for a new job. Some of these may indicate discouraged workers who see declining wages as an incentive to stay home with the kids or try self-employment of some sort. Most of them are probably retiring baby boomers.
Remember the social security problem? Its a bigger demographic problem. More promises, fewer workers to pay for it all...
Global equity markets declined a modest 1% overnight, and a lack of good news regarding employment in America could also contribute to dragging down today's market activities. The dollar is trying new lows at 1 US = 1.54 EU. Is there good news? AMBAC found $1.5 billion from investors and hopes to reclaim its AAA rating. I don't think such a major dilution is exactly good news for their current stockholders, but I guess its better than complete insolvency. I think we'll get close to testing 11,500 on the Dow over the next few days. EU 1 = $1.60 US? Possibly. Forbes says none of this matters. Forget price increases, forget job losses, forget the debt - and the only reason any one is worried is because its an election year, Bush is unpopular, and journalists don't know what they're talking about. Kind of funny to have a journalist telling us not to trust journalists.
I think my head would explode if I tried to follow that advice to its logical conclusion. http://www.forbes.com/columnists/forbes/2008/0310/027.html **Update Now that I'm seeing the actual details of which sectors lost and gained, I realize that there were actually 96,000 private sector jobs lost. Government added 33,000 jobs. Employment demand also remains strong in health and education. **Update #2 in April, February's numbers were revised upward to a total private loss of 109,000.
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Last Updated ( Wednesday, 09 April 2008 )
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