Friday, December 7, 2012

Unemploymnet Down to 7.7% on 540k Fewer People in the Labor Force

ZeroHedge nails it on today's job numbers:
Confused why the unemployment rate dropped? The same, favorite BLS adjustment - a drop in the labor force participation rate which declined by 0.2% to 63.6% once again, as the number of people out of the labor increased by over 540K to 88,883,000.
The Employment Situation Report (link will break in a month) dismisses the impact of Hurricane Sandy on the jobs numbers:
Our analysis suggests that Hurricane Sandy did not substantively impact the national employment and unemployment estimates for November.
While the falling unemployment rate of 7.7% and the addition of 146k NFP which beat estimates is great news, the big question is: what happened to the half million people that left the work force?

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