Why Jobless Claims May Not Be As Good As Market Thinks

CNBC.com ^ | 11 October 2012 | Kelly Evans

[zeestephen]

For the second time in a week, a government unemployment report is sowing confusion - and may not be as positive as the markets think.

[zeestephen]

As Dow Jones reported: “A Labor Department economist said one large state didn't report additional quarterly figures as expected, accounting for a substantial part of the decrease.”

It took about 3 hours for this qualification to be widely reported.

In the meantime, every major network and business news agency was reporting that "Initial Jobless Claims Hit A 4.5 Year Low."

According to at least one source - Henry Blodgett - the large state in question was California, and the number of unreported new claims is in the 15,000 to 25,000 range.

[FlingWingFlyer]

What a joke. The country is being run by a bunch of brainless buffoons.

[txrangerette]

"not as positive as the market thinks"

Right now as I write this the market is pretty much stuck in place from yesterday. I don't see any sign the market thinks this is positive.

[Sarah Barracuda]

The jobs report is pure BS..every single day Im hearing about this company laying off 1200 people and that company laying off a bunch of people and I’m supposed to believe through all of that the jobless claims went DOWN..PLEASE..the labor department works for Obama, they do his bidding. This is all about making him look good to win re-election..all of a sudden in the past week everything looks beautiful for Hussein, give me a break!

[Tublecane]

“Why...”

Because they’re phony?

[wrench]

If employment is doing so much better, how come state tax revenues are still so low that we are in for yet another round of cutbacks and state employee layoffs?

Lets look at economic numbers not so easily fudged, like sales tax revenue. The states get this in near real time, but has anyone seen this covered lately?

[zeestephen]

Good point, wrench.

I’m going to start paying attention to that.

[RossA]

What a great idea! Just eliminate California! Less jobless claims, less unemployment, less illegal immigrants, less foreclosed houses, less imprisoned Americans! Instant prosperity! Not to mention less electoral college votes for Obama! All courtesy of the genii at the BS, err, make that the BLS.

P.S. Can we keep the parks? Maybe move Tahoe and Yosemite to Nevada - before we throw away the rest?

[chiller]

Brainless buffoons ? I’m more cynical. Corrupt leftists is probably more accurate.

[fella]

For the most part the stock markets are confidence games very vulnerable to all sorts of trickery.

[seowulf]

Of course BLS not exclude California data, they simply did not include them.

My first guess, cynic that I am, was California when it first came out that some mysterious state did not report, and California, being about 10% of the economy, would probably account for the 10% shortfall in unemployment claims.