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(Rachel Maddow blog)
First-time claims for unemployment insurance compensation fell to a seasonally adjusted 387,000, a decrease of 2,000 from the previous week's revised numbers, the Department of Labor reported Thursday morning. The previous week was revised from 386,000 to 389,000. The four-week moving average, which analysts prefer because it flattens volatility in the weekly numbers, rose to 386,250, an increase of 3,500 from the previous week's revised average of 382,750. That was the highest level so far this year.

Last year at this time, first-time claims were 424,000.

Forty-four states and territories reported an increase in claims. Nine reported a decrease. Economists polled by Bloomberg and by Reuters had predicted lower numbers.

For state programs and the federal extended benefits program, the total number of people claiming benefits for the week ending June 2 was 5,826,164, a decrease of 1,164 from the previous week. That total keeps falling partly because the job market is slowly improving. But the lower numbers are coming about mostly because individuals are exhausting their eligibility to receive the benefits and because lawmakers cut a budget deal earlier this year that is steadily reducing the number of weeks out-of-work Americans can receive benefits from 99 to 73 in the worst-hit states and to 40 in better-off ones.

The claims numbers released today covered the final week of monthly data that will be reported in the July 6 Bureau of Labor Statistics survey on progress in the job market. They are an indication that the survey will show no better results than the past three months, which have been steadily weaker since March.

Originally posted to Daily Kos Labor on Thu Jun 21, 2012 at 06:15 AM PDT.

Also republished by ClassWarfare Newsletter: WallStreet VS Working Class Global Occupy movement, Progressive Hippie, German American Friendship Group, and Daily Kos.

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Comment Preferences

  •  Tip Jar (17+ / 0-)

    Don't tell me what you believe, show me what you do and I will tell you what you believe.

    by Meteor Blades on Thu Jun 21, 2012 at 06:01:15 AM PDT

  •  Corporations are sitting on billions in earnings (8+ / 0-)

    It sure would be great if they would invest in the country that allowed them to make all that money.

    NC-4 (soon to be NC-6) Obama/Biden 2012

    by bear83 on Thu Jun 21, 2012 at 06:26:28 AM PDT

    •  they will start hiring quickly (0+ / 0-)

      But only when Rmoney becomes Prez. Bastards.

      I know you believe you understood what you think I said, but I'm not sure you realize that what you heard is not what I meant. -- S.I. Hayakawa

      by tapu dali on Thu Jun 21, 2012 at 08:24:22 AM PDT

      [ Parent ]

      •  What will they hire for? (2+ / 0-)
        Recommended by:
        wsexson, TimmyB

        What kinds of jobs do you see them having available?

        I don't think they will hire until there is demand again. And there won't be demand again until more people have jobs and disposable income. It's a vicious circle.

        I don't think it matters who is president. They aren't going to hire people to sit around and draw a paycheck unless there are customers that make the jobs necessary.

        "The difference between the right word and the almost-right word is like the difference between lightning and the lightning bug." -- Mark Twain

        by Brooke In Seattle on Thu Jun 21, 2012 at 09:20:08 AM PDT

        [ Parent ]

      •  No they won't (0+ / 0-)

        After all, it's not like they did much hiring under Bush, either.

        They'll gladly accept any tax cuts that a Romney administration sends their way, but they certainly won't do any real job creation in return.

        Political Compass: -6.75, -3.08

        by TexasTom on Thu Jun 21, 2012 at 06:58:20 PM PDT

        [ Parent ]

    •  To M.B. Thanks for diary! (0+ / 0-)

      sig...You just ran into a hardcore progressive who's just another working stiff with an MBA degree & therefore a vociferous labor union supporter [smile]

      by Democrats Ramshield on Fri Jun 22, 2012 at 02:29:39 AM PDT

      [ Parent ]

  •  this number has been pretty stable for a while (0+ / 0-)

    An ambulance can only go so fast - Neil Young

    by mightymouse on Thu Jun 21, 2012 at 06:37:13 AM PDT

  •  Several nations reporting manufacturing declines (5+ / 0-)

    Spanish exports down 0.8% from 2011, China on an eighth straight month of manufacturing contraction (including lowest new export orders since March 2009), Germany manufacturing lowest since 2009.

    It's relevant to point this out, since I'm certain that the loosening of the labor market in the United States is an early casualty of recessions abroad. Industrial orders and production in the United States have also apparently peaked as of recently, so next month's labor report (on July 6th) will be very telling for where we are right now.

    "Growth for the sake of growth is the ideology of the cancer cell." ~Edward Abbey ////\\\\ "To be a poor man is hard, but to be a poor race in a land of dollars is the very bottom of hardships." ~W.E.B. DuBois

    by rovertheoctopus on Thu Jun 21, 2012 at 06:38:47 AM PDT

    •  naive Q - how much do China #'s, say, affect us? (0+ / 0-)

      don't hate on me for asking a basic question  ... but it appears to work in multiple directions ... e.g., US mfrs compete with China, so if they lose we win ... but US companies use Chinese inputs, so if they lose we lose ... and Chinese contraction likely reflects (in part) loss of world demand, so their loss means we already lost.

      hope this makes sense.

      An ambulance can only go so fast - Neil Young

      by mightymouse on Thu Jun 21, 2012 at 07:59:04 AM PDT

      [ Parent ]

      •  It does. And the answer is: It's complicated... (2+ / 0-)
        Recommended by:
        mightymouse, TimmyB

        ...but a major contraction in China will definitely have a global effect now. Twenty years ago, even ten, and this would have brought a big yawn. Now they have big impacts, but they aren't linear.

        Don't tell me what you believe, show me what you do and I will tell you what you believe.

        by Meteor Blades on Thu Jun 21, 2012 at 08:09:04 AM PDT

        [ Parent ]

      •  The easiest way to explain this is that... (3+ / 0-)
        Recommended by:
        mightymouse, Meteor Blades, TimmyB

        trade is basically a zero-sum game. Not every country can run trade surpluses or trade deficits, because that would be inconsistent with the total volume of global trade, all things being romantically equal.

        China has a weak yuan, which it swears by to keep itself a strong exporter. Lower exports from China roughly translate to lower imports for its trading partners, which would generally include the EU, US, Japan, and many south Asian countries in the ASEAN. Which "boosts" GDP in those importing countries that are importing less, but it steals away from China's GDP. That's besides the point, though. China can (and has) more than offset this export issue with massive consumption to keep growth positive, although China's trading partners tend to export commodities to China (like Brazil, India, the Philippines, South Africa, or Argentina.) Chinese manufacturers use those raw materials to produce items it exports. Evidently, China is slowing, and it does feedback into those commodity-exporting countries and hurts them. And because they (Brazil, Russia, India, etc.) import from the United States, it can come back to hurt the United States' trade. It's a bit of an oversimplification, because there are many inputs to this, but that's a basic explanation. Everything in trade has some feedback that results in net-zero trade.

        China's larger importer is the EU, however. That seems to be where the weakness in Chinese exports is stemming from. It could be that China is more of an "indicator" of global weakness at this point than posing a threat in itself. On the other hand, for China to keep consuming and producing, it needs materials from other countries, and they are getting hurt.

        "Growth for the sake of growth is the ideology of the cancer cell." ~Edward Abbey ////\\\\ "To be a poor man is hard, but to be a poor race in a land of dollars is the very bottom of hardships." ~W.E.B. DuBois

        by rovertheoctopus on Thu Jun 21, 2012 at 08:34:00 AM PDT

        [ Parent ]

        •  Signs of Trouble Ahead (0+ / 0-)

          If Europe is in recession and economic activity in China is slowing, then things aren't looking up for the rest of the planet.  

          Look at the drop in the price of oil.  Low crude oil prices mean low gasoline prices in the U.S.  However, low oil prices also indicate a slowing economy that doesn't use so much oil.  That's not good.    

          •  Egypt isn't helping either (0+ / 0-)

            The continuing civil war in Syria already has the markets spooked, particularly when combined with the EU crisis (Greece, Spain, Italy, Ireland, etc.). And on Sunday, it looks like things are about to hit the fan in Egypt, too, if the military strips the "victory" from the Muslim Brotherhood when they announce the victor of the recent presidential election there.

            It just seems like one shoe after another continues to drop, few of which Obama has any control over.  I certainly hope Americans will remember that it isn't just the U.S. that is climbing its way out of the abyss. Much of the rest of the world, and especially the tinderbox Middle East, is also in serious trouble, none of which is helpful to our country and to Obama's re-election efforts.

    •  Double DIp in the EU (1+ / 0-)
      Recommended by:
      TimmyB

      a month or 2 ago 12 countries were back in recession.

      Ouch....

      FDR 9-23-33, "If we cannot do this one way, we will do it another way. But do it we will.

      by Roger Fox on Thu Jun 21, 2012 at 01:02:17 PM PDT

      [ Parent ]

  •  How many weeks in a row has the number been (2+ / 0-)
    Recommended by:
    nextstep, mightymouse

    revised upward? I think we're at 68 out of 69. What are the chances of an estimate being wrong always in the same direction? It's amazing how nearly every week the number is down from the previous week, but here we are, still above 375,000. Isn't it comparing apples oranges to compare this week's estimate to last week's revised figure in determining whether claims went up or down?

  •  Corporations and Republicans Are In It (1+ / 0-)
    Recommended by:
    PorridgeGun

    together to take this country down so it will be a third world country.  Rich old white man want to rule the world and they don't care if they take America down with them.  I hope voters know that corporations hate Americans just as republicans do.  The only people that count for corporations and republicans are rich people.  All the rest of us are just serfs and slaves.

    "Don't Let Them Catch You With Your Eyes Closed"

    by rssrai on Thu Jun 21, 2012 at 07:36:01 AM PDT

    •  or (2+ / 0-)
      Recommended by:
      wsexson, TimmyB

      they don't hire because the economy continues to suck and they are not having more people buy their products.

      that's the most simple reason.

      of course, it shows how wrong-headed the republican plans to give them even more cash is, since it's about whether people buy their stuff rather than how much cash they have.

  •  No matter how you look at it (0+ / 0-)

    It's going to be difficult to put a smiley face on these results or the results over the past number of months.

    This needs to be a whole lot better so as not to be a negative to Obama in November, regardless how it's spun.

    The truth is sometimes very inconvenient.

    by commonsensically on Thu Jun 21, 2012 at 04:43:09 PM PDT

  •  Isn't this a normal seasonal thing? (0+ / 0-)

    Something to do with a bunch of people graduating? I thought it was normal for jobless claims to go up during this time of year.

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