New economic data shows promising with the reported addition of over 171,000 jobs for the months of August to October. With this number, the three-month period shows to be the best employment part of the year 2012. The unemployment rate also decreased as more people were more than delighted to go back into the workforce. But the good news on the employment rate is not the only thing that’s making everyone happy about the economy. There are a few more.
Report from the Department of Labor: Jobless Claims Decrease
The Department of Labor has reported that the jobless claims have gone down by 6000 compared to last week’s report.
Together with the increase in staffing, personal income has gone up although paired with an average consumer spending. This may not sound very encouraging but it is especially if compared to the last few months of no consumer spending at all. It appears that although people would still want to save, their confidence is slowly getting back up to make them want to purchase goods and services again.
Meanwhile, factory orders have gone up but it can’t still be enough to cover the decline experienced last August. Some analysts say that such an increase can be attributed to Apple’s release of the new iPhone models.
Additional data also shows that the applications for bad credit loans have gone up. This is an indication that although the employment rate has increased, personal income may still not be enough to cope with the rising cost of commodities. The use of bad credit loans also shows that the credit score is one of the main factors why consumers would not want to consider traditional lending institutions when it comes to the issue of quick cash.
On the topic of housing, reports are quite mixed. According to the Mortgage Bankers’ Association, the Purchase Index rose by one percent compared to the previous week. This is supported by the data coming from the Federal Bank Reserve’s weekly H8 report which states that real estate loans have slightly jumped.
The value of the housing market has also increased especially around metropolitan areas based on the information gathered by the Housing Tracker. According to the Tracker, the value of the housing market has increased by 2.6% compared to last year’s prices.
The economy has been showing all signs of improvement but is it enough to pull the US completely out of post-recession? Economists say that it’s still too early to make a definitive opinion as the next few years remain to be seen.