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Weak April Jobs Report From LinkUp Looks Prescient In Light Of New Jobless Claims Data
LinkUp’s April jobs report was way out of step from the consensus estimates, and contrasted sharply with data and forecasts released by The Conference Board, ADP, Intuit, and Wanted Technologies, among others. In fact, the Bureau of Labor Statistics (BLS) numbers for April released in early May were even more positive than anyone predicted, with non-farm payrolls growing by 290,000 jobs during the month. But data just released on the number of people filing new claims for unemployment benefits last week shows that the job market is far weaker than April’s rosy BLS numbers would otherwise indicate. As reported by AP in the L.A. Times,
“The number of people filing new claims for unemployment benefits unexpectedly rose last week by the largest amount in three months. The surge is evidence of how volatile the job market remains, even as the economy grows. Applications for unemployment benefits rose to 471,000 last week, up by 25,000 from the previous week, the Labor Department said Thursday. It was the first increase in five weeks and the biggest jump since a gain of 40,000 in February. The total was the highest since new claims reached 480,000 on April 10. It also pushed the average for the last four weeks to 453,500. “Although no one expects this volatile series to go in one direction every single week, this is clearly a disappointment,” said Jennifer Lee, senior economist at BMO Capital Markets.”
It looks like our pessimistic jobs report for April was pretty accurate after all.