Sunday, November 07, 2010

Happy Days

Just a quick follow-up to Friday's jobs commentary. In many ways, the Friday jobs report reminded me of the "strong" jobs reports we used to get in the 2005-2006 period. Back then we'd see job losses in manufacturing and high service but huge adds in retail and food service. To the BLS all jobs are created equal, but we all know an IT job at Biogen is a good deal better than a server at Olive Garden.

However, that's what we got this month - more losses in manufacturing, but we added Temp Help, retail, food service and health care. A couple of other data points jumped out for the pessimists in the crowd - 1) Employment-Population ratio fell to 58.3% in October which doesn't suggest a turnaround; 2) Labor Force Participation Rate fell again to 64.5% in October from 64.7% in September. This has historically averaged in the 66-67% so we're well below those levels.

This is a particularly disturbing look at the 1,000 people living in the tunnels beneath Las Vegas. I guess I won't complain too much about our little snowstorms in NNY this winter.


No comments: