NEW YORK (CNNMoney.com) -- The unemployment rate took its biggest jump in more than two decades in May as employers once again cut jobs from U.S. payrolls, according to a government report Friday, showing a job market weaker than expected.
The unemployment rate soared to 5.5% from only 5% in April. Economists surveyed by Briefing.com had only forecast the closely watched rate would rise to 5.1% in the month.
It was the biggest one-month jump in unemployment since February 1986, and the 5.5% rate is the highest level seen since October 2004.
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A jump of this magnitude, even over a period of several months, is considered a warning sign of a recession. The unemployment rate is now a full percentage point higher than a year ago.
The Labor Department also reported that there was a net loss of 49,000 jobs in May, compared to a revised loss of 28,000 jobs in April. That was actually a touch better than economists' forecast of a loss of 60,000 jobs, but it marked the fifth straight month that the economy has lost jobs.
Revisions to payroll estimates from earlier this year added 15,000 to the job losses in the first four months of the year. With the May loss, the economy has now shed 324,000 jobs so far this year, the worst start to a year since 2002, when the nation was still struggling with the after-effects of a recession.
Friday, June 06, 2008
Thursday, June 05, 2008
interest on hold 5th june 08
LONDON (ShareCast) - Bond fell as worries grew that inflation is becoming the key consideration of central banks following the decision by the Bank of England and European Central Banks to leave rates on hold.
ECB president Jean -Claude Trichet
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added to the unease by commenting that risks to price stability have "increased further.''
"It's not excluded that, after having carefully examined the situation, that we could decide to move our rates by a small amount at our next meeting,'' Trichet said after the decision to leave eurozone rates at 4%.
European bonds slumped on the comments with the 10-year bund adding 8 basis points to 4.46% and short yields shooting up to 4.64%.
Gilts also suffered as the Bank of England left UK rates at 5% despite calls from industry to cut them to ease pressure on corporate profits. Ten-year gilt yields jumped by nearly 10 basis points to 5.04%.
US treasuries also fell back with the 10-year note's yield increased 4 basis points to 4.02%. Yesterday Federal Reserve chief Ben Bernanke said the inflation outlook is a "significant concern.''
The US Labor Department reported that applications for unemployment benefits fell by 18,000 to 357,000 last week, the lowest level since mid-April
ECB president Jean -Claude Trichet
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added to the unease by commenting that risks to price stability have "increased further.''
"It's not excluded that, after having carefully examined the situation, that we could decide to move our rates by a small amount at our next meeting,'' Trichet said after the decision to leave eurozone rates at 4%.
European bonds slumped on the comments with the 10-year bund adding 8 basis points to 4.46% and short yields shooting up to 4.64%.
Gilts also suffered as the Bank of England left UK rates at 5% despite calls from industry to cut them to ease pressure on corporate profits. Ten-year gilt yields jumped by nearly 10 basis points to 5.04%.
US treasuries also fell back with the 10-year note's yield increased 4 basis points to 4.02%. Yesterday Federal Reserve chief Ben Bernanke said the inflation outlook is a "significant concern.''
The US Labor Department reported that applications for unemployment benefits fell by 18,000 to 357,000 last week, the lowest level since mid-April
Wednesday, June 04, 2008
suv sales interest rates on loans
GM also announced plans to close four pickup and SUV plants in North America and expand output at two car plants to meet customer demand that is increasingly dominated by concern about fuel efficiency.
Satoshi Aoki, head of the Japan Automobile Manufacturers Association, said he saw cars grabbing even more market share.
"One thing that's certain is that consumer interest in fuel-efficient, environmentally friendly cars will grow," Aoki, also the chairman of Honda, told reporters in Tokyo.
Overall, U.S. sales fell to 14.25 million on an annualized basis in May, down from 14.4 million in April and 15.2 million on average in the first quarter. Sales were adjusted for an additional sales day compared with the year earlier.
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Car sales, which had accounted for less than half of industry volume in 2007, surged to 57 percent in May. On the losing end, truck sales hit their lowest rate since 1995.
Satoshi Aoki, head of the Japan Automobile Manufacturers Association, said he saw cars grabbing even more market share.
"One thing that's certain is that consumer interest in fuel-efficient, environmentally friendly cars will grow," Aoki, also the chairman of Honda, told reporters in Tokyo.
Overall, U.S. sales fell to 14.25 million on an annualized basis in May, down from 14.4 million in April and 15.2 million on average in the first quarter. Sales were adjusted for an additional sales day compared with the year earlier.
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Car sales, which had accounted for less than half of industry volume in 2007, surged to 57 percent in May. On the losing end, truck sales hit their lowest rate since 1995.
Tuesday, June 03, 2008
bank fraud on loans 3rd june 08
LAS VEGAS — In the shadow of Sunrise Mountain, where Rolling Hills Drive turns into Gold Mine Drive, a plain two-story home sits unoccupied, like thousands of other houses here in southern Nevada.
Some of these empty homes have "for sale" signs. Others bear signs saying "foreclosure." Authorities say hundreds of them, including this one on Rolling Hills Drive, should have a different sign out front, one that reads "fraud."
Prosecutors contend this house was sold last year to a straw buyer as part of a sprawling mortgage fraud perpetrated by a husband-and-wife team involving 277 properties in greater Las Vegas.
Prosecutors have charged Eve Mazzarella, 30, and Steven Grimm, 45, with bank fraud, alleging the two caused banks to make more than $107 million in dubious loans and netted a profit of at least $15 million. Both defendants pleaded not guilty to the charges. A trial has been scheduled for October.
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To the untrained eye, the size, scope and sophistication of the alleged scheme is noteworthy. But to the FBI in Las Vegas, the problem is the opposite: In recent years, there have been so many mortgage fraud cases, the bureau and local prosecutors have had to establish a special task force to combat the problem
Some of these empty homes have "for sale" signs. Others bear signs saying "foreclosure." Authorities say hundreds of them, including this one on Rolling Hills Drive, should have a different sign out front, one that reads "fraud."
Prosecutors contend this house was sold last year to a straw buyer as part of a sprawling mortgage fraud perpetrated by a husband-and-wife team involving 277 properties in greater Las Vegas.
Prosecutors have charged Eve Mazzarella, 30, and Steven Grimm, 45, with bank fraud, alleging the two caused banks to make more than $107 million in dubious loans and netted a profit of at least $15 million. Both defendants pleaded not guilty to the charges. A trial has been scheduled for October.
subscribe to newsletter at http://www.factsonloans.com
To the untrained eye, the size, scope and sophistication of the alleged scheme is noteworthy. But to the FBI in Las Vegas, the problem is the opposite: In recent years, there have been so many mortgage fraud cases, the bureau and local prosecutors have had to establish a special task force to combat the problem
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