Analysts were surprised this morning and the liberal ones beside themselves to see a 30,000 drop in jobless claims.
Ace of Spades blog collected the jubilant headlines:
CNN: Jobless claims fall to four-year low
CBS: Jobless claims fall to lowest level since ’08
Reuters: Jobless claims fall to lowest in four and a half years
Bloomberg: Jobless Claims in U.S. Fall to Four-Year Low
Chicago Tribune: New jobless claims plunge to 4 1/2-year low
Why would this happen? Could it be the Columbus Day holiday? Have things rapidly improved? What gives, especially since non seasonally adjusted initial claims jumped by 26,000 to 327,000 in the past week?
Cooking the books is what it looks like. Fox News noticed that one large state was not included in the data. The BLS acknowledges this but won’t say which one. I wonder why? Was it California? Illinois? New York? Isn’t it convenient that with the election less than four weeks away all this good news should be pouring in?
Just don’t look at it too closely, I suppose.
Fortunately, Rep. Darrel Issa is not buying. He’s called for a Congressional review of the employment stats to be held Friday. Something’s amiss at the Bureau of Labor Statistics.
Now all those who didn’t believe Jack Welch might want to change their minds. He’s onto something.