New US jobless claims fall

Better numbers fuel hopes that worst of recession is over.

    The number of US job-seekers is expected to rise before an eventual economic recovery [AFP]

    Initial jobless claims are now at their lowest level since July 11, the figures show. New unemployment benefit applications peaked at 674,000 in late March.

    The continued decline in the number of people making initial claims for unemployment benefit comes as the administration of Barack Obama, the US president, defends itself against claims by the opposition that a $787bn economic stimulus package has done little to shore up the flagging economy.

    Government data released last week showed that US Gross Domestic Product (GDP) – the country's total economic output - fell a less-than-expected one per cent in the second quarter of 2009, boosting hopes that the economy is stabilising.

    However, the labour department is set to release July jobs data on Friday that economists expect will show the unemployment rate has risen to 9.6 per cent from 9.5 per cent in June.

    And the US government has said that while the economy is showing signs of turning the corner from its worst downturn since the Great Depression of the 1920s and 1930s, jobs will still continue be lost before a full recovery.

    SOURCE: Agencies


    YOU MIGHT ALSO LIKE

    How different voting systems work around the world

    How different voting systems work around the world

    Nearly two billion voters in 52 countries around the world will head to the polls this year to elect their leaders.

    How Moscow lost Riyadh in 1938

    How Moscow lost Riyadh in 1938

    Russian-Saudi relations could be very different today, if Stalin hadn't killed the Soviet ambassador to Saudi Arabia.

    The great plunder: Nepal's stolen treasures

    The great plunder: Nepal's stolen treasures

    How the art world's hunger for ancient artefacts is destroying a centuries-old culture. A journey across the Himalayas.