In the week ending Nov. 1, the advance figure for seasonally adjusted initial claims was 481,000, a decrease of 4,000 from the previous week's revised figure of 485,000. The 4-week moving average was 477,000, unchanged from the previous week's revised average of 477,000.
The advance seasonally adjusted insured unemployment rate was 2.9 percent for the week ending Oct. 25, an increase of 0.1 percentage point from the prior week's unrevised rate of 2.8 percent.
The advance number for seasonally adjusted insured unemployment during the week ending Oct. 25 was 3,843,000, an increase of 122,000 from the preceding week's revised level of 3,721,000. The 4-week moving average was 3,754,000, an increase of 43,000 from the preceding week's revised average of 3,711,000.
I go back to my genius proposal: refinance ALL outstanding loans, mortgages, munis, treasuries, corporate debt, etc. into interest-only zero percent loans.
If indeed the world is all going to ZIRP, then lets get there and be done with it.
There seems to be political will anywhere for tough medicine.
WASHINGTON (MarketWatch) - The number of U.S. residents collecting state unemployment benefits reached the highest level in 25 years, rising by 122,000 to a seasonally adjusted 3.84 million in the week ending Oct. 25, the Labor Department reported Thursday. Meanwhile, the number of first-time applications for benefits fell by 4,000 to 481,000 in the week ending Nov. 1, the government agency added. Compared with the same week a year ago, new jobless claims are up about 45%, while continuing claims are up 46%
C&C: They sure missed the eventual consequences of the housing and credit bubble as it built up. I guess it should be no surprise that these same geniuses will miss the consequences as the housing and credit bubbles pop.
After nearly 3 decades of debt fueled growth, these central bankers do not have the analytic framework to correctly diagnose the problem nor prescribe a solution. They're using the only medication they have on their shelves in hopes it will cure the patient.
My vain hope is that credit-crunch-hit banks will still be competing for retail deposits and still offering half-decent rates; I've been able to buy 6.5% six-month bonds while the base rate was 5%.
Otherwise this is a real kick in the teeth to savers; am I going to be reduced to day-trading in the hope of getting above-inflation returns without the three-year lock-in that National Savings has for their tax-free RPI+1% option?
Rate cuts are too late as they let their inflation bias blind them to the insolvency underneath. Expect that ECB will continue to cut for the short and long term. Expect higher costs for needs and lower for wants. Lower interest rates will not help permanent job losses as finance jobs go away. Since the manufacturing base is low in the UK and US, I except higher costs on some goods (needs) and lowerer costs on other goods (wants). Should be interesting to watch. Cheers.
Yeah - it's only the first loop of the feedback cycle. The new army of unemployed will default by summer, which triggers the next round of credit trouble, which freezes spending and investing, which kicks out another group of workers.
UK rate cut effect consumer sector\t
\t Bns
Mortgages outstanding\t 535.1
33% market var 133.78
1.25% effective reduction 1.67
\t
Personal deposits\t 568.2
1.5% deposit reduction\t -8.52
Net consumer income -6.85
\t
\t
For Banks\t
Interest from mortgages -1.67
Interest to depositors -8.52
\t
Net interest income 6.85
Oddly, or perhaps not so, the pound is up slightly right now.
Curlydan, I've taken some of the cash I would have in $ money market funds and spread them around, FXF, FXY, FXE and even some FXB. I'm not trying to play any trade in particular, just diversify. Also a little in a new ETF, PGD (Barclays Asian and Gulf Currency Revaluation).
Newbie first!
first?
Good morning, y'all
If they coordinate rate cuts, why don't they say so to maximise impact?
4th and a half
Carlomagno
they know it is just cosmetic
wait till delaveraging is done
OT:
News Release
In the week ending Nov. 1, the advance figure for seasonally adjusted initial claims was 481,000, a decrease of 4,000 from the previous week's revised figure of 485,000. The 4-week moving average was 477,000, unchanged from the previous week's revised average of 477,000.
The advance seasonally adjusted insured unemployment rate was 2.9 percent for the week ending Oct. 25, an increase of 0.1 percentage point from the prior week's unrevised rate of 2.8 percent.
The advance number for seasonally adjusted insured unemployment during the week ending Oct. 25 was 3,843,000, an increase of 122,000 from the preceding week's revised level of 3,721,000. The 4-week moving average was 3,754,000, an increase of 43,000 from the preceding week's revised average of 3,711,000.
I go back to my genius proposal: refinance ALL outstanding loans, mortgages, munis, treasuries, corporate debt, etc. into interest-only zero percent loans.
If indeed the world is all going to ZIRP, then lets get there and be done with it.
There seems to be political will anywhere for tough medicine.
@germansausages: perhaps, but they might as well get as much bang for their buck as they cn in the interim.
Last to cut rates wins.
BX numbers out...big loss and TGT retails sales #'s were ugly
Continuous jobless claims highest since 1983...S&P 610 here we come...
C&C: Do you think the Buy the Dips/Buy and Hold crowd has been sufficiently beaten down and will capitulate?
Continuing jobless claims hit 25-year high - MarketWatch
WASHINGTON (MarketWatch) - The number of U.S. residents collecting state unemployment benefits reached the highest level in 25 years, rising by 122,000 to a seasonally adjusted 3.84 million in the week ending Oct. 25, the Labor Department reported Thursday. Meanwhile, the number of first-time applications for benefits fell by 4,000 to 481,000 in the week ending Nov. 1, the government agency added. Compared with the same week a year ago, new jobless claims are up about 45%, while continuing claims are up 46%
Too Bad America can't cut 150 bps.
LOL. I guess we can get to global ZIRP then go back to using brains and hard work to create wealth rather than playing with numbers on paper.
Of course fiat madness may claim a few major governments first.
Compared with the same week a year ago, new jobless claims are up about 45%, while continuing claims are up 46%
Bottom's in.
@Elvis
I think they are playing first to zero wins!
Mr. Beach - I doubt it, as long as CNBC keeps pumping they will keep buying
S&P 610 here we come...
If it gets there, CR's gonna need a bigger tip jar.
A cut of that magnitude is a hallmark of desperation...
C&C: They sure missed the eventual consequences of the housing and credit bubble as it built up. I guess it should be no surprise that these same geniuses will miss the consequences as the housing and credit bubbles pop.
Compared with the same week a year ago, new jobless claims are up about 45%, while continuing claims are up 46%
crispy&cole
Does this number hit you as hard as it hit me? Am I wrong to observe the hugeness of this?
The feedback is just starting.
loop, oops
After nearly 3 decades of debt fueled growth, these central bankers do not have the analytic framework to correctly diagnose the problem nor prescribe a solution. They're using the only medication they have on their shelves in hopes it will cure the patient.
We need more asbestos, more asbestos!
My vain hope is that credit-crunch-hit banks will still be competing for retail deposits and still offering half-decent rates; I've been able to buy 6.5% six-month bonds while the base rate was 5%.
Otherwise this is a real kick in the teeth to savers; am I going to be reduced to day-trading in the hope of getting above-inflation returns without the three-year lock-in that National Savings has for their tax-free RPI+1% option?
Rate cuts are too late as they let their inflation bias blind them to the insolvency underneath. Expect that ECB will continue to cut for the short and long term. Expect higher costs for needs and lower for wants. Lower interest rates will not help permanent job losses as finance jobs go away. Since the manufacturing base is low in the UK and US, I except higher costs on some goods (needs) and lowerer costs on other goods (wants). Should be interesting to watch. Cheers.
Yeah - it's only the first loop of the feedback cycle. The new army of unemployed will default by summer, which triggers the next round of credit trouble, which freezes spending and investing, which kicks out another group of workers.
So - now we find out - can we run a carry trade to Mars?
So - now we find out - can we run a carry trade to Mars?
Fair Economist | Homepage | 11.06.08 - 9:43 am | #
What about Iceland? It is giving out 18%... oh wait..
Arrghh...come on Swissies...hang tough.
I should have bought yen instead of francs
UK rate cut effect consumer sector\t
\t Bns
Mortgages outstanding\t 535.1
33% market var 133.78
1.25% effective reduction 1.67
\t
Personal deposits\t 568.2
1.5% deposit reduction\t -8.52
Net consumer income -6.85
\t
\t
For Banks\t
Interest from mortgages -1.67
Interest to depositors -8.52
\t
Net interest income 6.85
Nice!
Oddly, or perhaps not so, the pound is up slightly right now.
Curlydan, I've taken some of the cash I would have in $ money market funds and spread them around, FXF, FXY, FXE and even some FXB. I'm not trying to play any trade in particular, just diversify. Also a little in a new ETF, PGD (Barclays Asian and Gulf Currency Revaluation).
To compare current EU rate cut with UK and US interest rates over time take a look at the following graph:
Economic Statistics | OANDA FXTrade InfoCenter