Breaking on MSNBC:
U.S. employers unexpectedly cut 20,000 in January, but the unemployment rate surprisingly fell to a five-month low of 9.7 percent, according to a government report on Friday that hinted at some labor market improvement starting to take root.
The Labor Department said the economy shed 150,000 jobs in December, compared to 85,000 previously reported, but November was revised to a gain of 64,000, up from 4,000. Annual benchmark revisions to payrolls data showed the economy has purged 8.4 million jobs since the start of the recession in December 2007.
More jobs lost yet the rate falling? Labor market improvement starting to take root??? In the same article:
A sharp increase in the number of people giving up looking for work helped to depress the jobless rate. The number of 'discouraged job seekers' rose to 1.1 million in January from 734,000 a year ago.
More jobs were lost than expected. Other months were revised further down than the November was revised up. Yet unemployment rate went down and labor market is improving? Come on. That is as naked a spin as it gets.
We are still in trouble on the jobs front and Democrats need to keep stepping up in that area to avoid a midterm election rout. Jobs bill must be passed soon!
Update: Changed the title to be less of a downer and more objective. Like Meteor Blades put it on the front page - it's a mixed report.
Also the same article does show that some job sectors improved like services and surprisingly manufacturing but the construction sector continues to suffer badly. Imo the Housing situation is almost as important to the immediate health of our economy as the Jobs, with more people going into foreclosure and House sales still not improving much.
More positive news:
In another sign of labor market improvement, the average workweek unexpectedly rose to 33.3 hours, the highest level in a year, from 33.2 hours in December. Total average hourly earnings increased $18.89 from $18.84 in December.
Manufacturing overtime rose to 3.5 hours, the highest since September 2008.