Payrolls May Have Climbed for Fifth Month: U.S. Economy Preview

[Judi Lynn]

Source: Bloomberg

Payrolls May Have Climbed for Fifth Month: U.S. Economy Preview
By Shobhana Chandra

May 30 (Bloomberg) -- Employment probably grew in May for a fifth consecutive month, pointing to gains in wages that will help U.S. households ride out the turmoil in financial markets, economists said before reports this week.

Payrolls may have climbed by 508,000 workers last month, the biggest increase since 1997, according to the median estimate of 64 economists surveyed by Bloomberg News. The gain reflected a surge in government hiring of temporary help to conduct the census and a 180,000 rise in private employment, according to the survey.

Other reports may show the economic rebound is broadening beyond manufacturing as service providers, including retailers and construction firms, see a pickup in demand. General Electric Co. is among companies hiring, saying the European debt crisis is unlikely to derail the recovery from the worst global recession in the post-World War II era.

“The labor market is clearly improving,” said James O’Sullivan, global chief economist at MF Global Ltd. in New York. “At this point, there’s enough momentum in the economy to outweigh the drag from the turmoil in Europe.”


Read more: http://www.bloomberg.com/apps/news?pid=20601103&sid=alcsozhiDqFc

[No Elephants]

1. K & R. Fingers crossed.

[Submariner]

2. This coming month and summer could be hell for Democrats

in the run up to the mid-term elections. It appears we may be on the precipice of another major pullback in the stock market if the following prediction turns out to be true.

This chart analysis was posted by another DU'er on Friday.

http://www.youtube.com/watch?v=hM79IhkbbAg&feature=player_embedded

Something to consider that could affect the labor market.

[Iowa]

11. That video/chart is almost laughable...

Here's essentially what it's saying:

1) In the past, the market went up "X" amount over "Y" period of time, and then it plunged "Z" amount.

2) Therefore, when the market goes up "X" amount over "Y" period of time, it will plunge Z amount.

This isn't just useless information - it's worse than useless.

There are an infinite number of wrong ways to go about investing. This chart is one of them.

[fasttense]

3. Wishful thinking?

So at this rate the US will be back to full employment in what 8 or maybe 10 years? Those numbers listed in the chart on the link don't look real promising to me.

"Basing the adjustment to the unemployment rate on nothing but a statistical regression to the growth of America over the past ten years, would yield an unemployment rate of 12.7%. More troubling is that the underemployment rate would be a number far higher than the 17.1% disclosed for April. According to our calculations, a reading closer to 22% would be more appropriate to represent the level of real joblessness in the US."

http://www.zerohedge.com/article/reindexing-unemployment-population-growth-yields-some-ugly-results

"1.41 million Americans filed for personal bankruptcy in 2009 – a 32 percent increase over 2008. Not only that, more Americans filed for bankruptcy in March 2010 than during any month since U.S. bankruptcy law was tightened in October 2005.

So shouldn't we at least wait until the number of Americans filing for bankruptcy is not setting new all-time records before we even dare whisper the words “economic recovery”?"

http://www.blacklistednews.com/?news_id=8878

[madrchsod]

4. not around here....

what ever gains we made has been wiped out by a loss of 400 jobs this week. another manufacturing company shut down because the parent company got a better deal from china. instead of quality products from the usa you are now forced to buy from china. yup one of the last if not the last hardware companies in america.

[nichomachus]

5. The biggest problem

is that stories like this consider all "jobs" equal.

The term "job" is relatively meaningless when you try to use it to draw conclusions about the health of the economy.

Suppose we lose 100,000 manufacturing "jobs" with a salary of $35 an hour and full benefits. Then, we add 100,000 "jobs" wrangling carts at the WalMart for $8 an hour and no benefits. These statistics-based stories would say that we had recovered the "jobs" that we lost. Bullshit.

It's the same as if you take your Lexus to the mechanic in the morning. In the afternoon, you return and he gives you a 1988 Corolla. He can claim that you brought in a "car" and he returned a "car." I really don't think you'd buy it.

[scentopine]

6. On walll street maybe - we are bracing for more layoffs around here -nt

[bluestateguy]

7. I wish they wouldn't make their estimate so high

It creates high expectations, which when they are not met (even if the data are still very good), rattles the markets into a moment of hysteria.

[nevergiveup]

8. A manufacturing plant here

that manufactures highly engineered piston pin and powder metal components is now hiring back people it laid off last year same pay. The employee parking lot which was down to only a few cars for many months is now mostly filled again. A friend's husband who had worked there for 18 yrs when he was laid off last summer was called back. I know a lot of communities are still devastated but for our community this is extremely good news.

[Gowi]

9. Excellent news and I bet the MSM hates to report it.

President Obama is doing an excellent job with our economy which is why unemployment rates are as low as they are today.

[dencol]

10. That's easy to say if you still have a job.

And forking over money to private corporations to keep them afloat is not a sound economic tactic, especially while the people struggle for food, housing, and healthcare if they are lucky.

[tabasco]

12. That's all ya' got, isn't it?

You were sucking AWOLBush's balls when payrolls were dropping, unemployment skyrocketed, and the deficit soared.

[Name removed]

13. Deleted message

Message removed by moderator. Click here to review the message board rules.

[New Dawn]

14. McDonalds is now hiring.