This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

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.

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.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
LCC $0.00 0.00%
BMY $59.52 -2.55%
BA $108.44 -6.81%
CMCSA $56.04 0.41%
NWS $10.89 -2.16%


Chart of I:DJI
DOW 15,660.18 -254.56 -1.60%
S&P 500 1,829.08 -22.78 -1.23%
NASDAQ 4,266.8370 -16.7550 -0.39%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs