Unemployment Hits 10.2%
( Updated with company names that cut jobs in October).
WASHINGTON ( TheStreet) -- The unemployment rate jumped to its highest level in 26 years in October, even as job losses continued to moderate.
The Labor Department said the U.S. economy lost 190,000 jobs last month, the 22nd straight month of declines. The consensus expectation was for a loss of 175,000 jobs.
|Most Commented Story Today
|BioCryst Competition for IV Flu Drug: BioBuzz|
|Most Popular Story Today
|Biotech Stock Mailbag: Poniard Predictions
In another sign the labor market has a long way to go in its recovery, the unemployment rate jumped to 10.2% from 9.8% in September. That's the highest unemployment rate since April 1983. Analysts had forecast an unemployment rate of 9.9%."Bottom line, it's not a good report. And the headlines will reflect that in the papers tomorrow," said Robert Pavlik, chief market strategist with Banyan Partners. "In the longer term, we've expected to go above 10%. But no one expected a jump to 10.2% from 9.8% in September. Now it starts to really hit home. It's going to have ramifications in areas like consumer spending." The three-month average of job losses was one silver lining in an otherwise disappointing report. In October, September and August, job losses have averaged 188,000 per month, the Labor Department said, compared with losses averaging 357,000 during the prior three months. In contrast, losses averaged 645,000 per month from November 2008 to April 2009. "The pace at which employees are being terminated is certainly declining, but that's like making lemonade out of sour lemons," said Pavlik. "But it's not going to last forever." Since December 2007, when the recession took hold, employment has fallen by 7.3 million, the Labor Department said. Although job losses continued in many of the major industry sectors in October, the declines have moderated in recent months.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV