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Most Recent Stories

CHALLENGER JOB REPORT SHOWS LOW LEVEL OF JOB CUTS, STATE/GOVERNMENT WEAKNESS

Investors are looking for a big jobs report this Friday and the early signs from the ISM reports, jobless claims and today’s Challenger job cuts report shows that employment trends are improving. The majority of the weakness in the report is coming from the public sector as the federal and state governments are forced to slash budgets to cut costs.  Approximately 40% of the cuts were at the government level.  Austerity is beginning to spread to the United States.  It will be interesting to see how the private sector is impacted by the sovereign debt crisis over the course of the next few months.  It’s difficult to imagine that the positive trend in job recovery can continue at the rate we were beginning to see in early 2010.

Source: Econoday

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