Jobless Claims Reach 26 Year High..

   and it probably is not going to get better for at least half of the new year, maybe longer.

   New government data that was released on Wednesday shows that new claims filers for jobless  benefits jumped by 30,000  to a 26 year peak last week.

Initial claims  for state unemployment insurance benefits rose to a seasonally adjusted 586,000 in the week ended Dec 20 from a revised 556,000 the prior week, the Labor Department said. It was the highest since the week ended November 27, 1982, when initial claims rose 612,000.

Analysts polled by Reuters had forecast 560,000 new claims versus a previously reported count of 554,000 the week before.

The four-week average of new jobless claims, a better gauge of underlying labor trends because it irons out week-to-week volatility, increased to 558,000 from 544,250 the week before. This was the highest reading since December 1982.

  It is noted that some states are seeing layoff increases in the auto industry essentially because consumers can not afford to spend their money on those vehicles.

     By the way. Those professionals who keep track of these things were only expecting an increase of 560,000.

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