Unemployment Rises To 9.8 %, Stocks Stumble
The latest unemployment numbers are out and the news is not good. The unemployment rate rose again last month– with overall job growth basically flat.
Although some economists expected unemployment numbers across the country to improve in November following 172,000 new jobs the month before, the labor department reported that the jobless rate nationwide was not positive.
The government reported that the unemployment rate climbed to 9.8 percent in November, a seven-month high. At the end,15.1 million people were reported jobless. That’s up from 9.6 percent the previous month. Employers added 39,000 jobs. Economists had forecast a gain of 145,000.
Continuing cuts in government, retail and construction positions led the unemployment rate to grown as job creation slowed.
The news isn’t helping Wall Street’s December rally. The markets saw moderate negative numbers in early trading. The rate is pushing stocks down as investors move money into safer assetsCloser to home, the latest report on the service industries shows continued growth for the 11th straight month for two critical parts of South Floridas’ economy, accommodations and food services.
Employment forecasters said December hiring overall should mean more gains in the employment rate.